JOHANNESBURG - (ANA) - South African exchange JSE Limited said on Thursday it had suspended trading of Steinhoff Investment Holdings Limited's preference shares after the company failed to submit its annual report on or before 28 February 2018.
Steinhoff Investment Holdings Limited manufactures, sources, warehouses, distributes, and retails furniture and household goods in Europe and the Pacific Rim and is a subsidiary of Steinhoff International Holdings N.V., whose shares plunged in December after it admitted to accounting irregularities.
"The market is reminded that Steinhoff International Holdings N.V has a primary listing on the Frankfurt Stock Exchange (FSE) and a secondary listing on the JSE and therefore the JSE wishes to reaffirm that it is not considering the suspension of Steinhoff International," the JSE said.
"Suspending trading in Steinhoff International on the JSE would place investors on the JSE at a disadvantage to those who are able to trade on the FSE."
Preference shares are shares of a company's stock with dividends that are paid out to shareholders before common stock dividends are issued. If the company enters bankruptcy, the shareholders with preference shares are entitled to be paid from company assets first.
- African News Agency (ANA)
