The listing of Libstar, an investment company that owns food brands, should serve as a cautionary tale to corporate financiers not to waste investors’ time and money with ill-researched offerings. Too many companies are being given a chance to list on the JSE without being properly scrutinised, and Libstar is the latest of them, according to a number of seasoned stockbrokers and investment managers. Sasfin’s David Shapiro says such dud listings used to take place especially in the late 1980s and early 1990s. SA investors are getting a reputation for being willing to list anything, he says, which is a cause for concern. "Companies are supposed to operate for a number of years, build up a name and track record before they go public. We as investors want to know that we can trust management. However, we’ve seen many poor listings in SA in recent years," Shapiro says. "Perhaps only Dis-Chem stands out over the past four years or so as an impressive listing. I just think there are too ma...

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