Johannesburg | Tuesday
THE directors of the South African Reserve Bank said on Monday they would propose to shareholders that the bank be delisted from the JSE.
They said that since the introduction of the new listings requirements during 2000 it had become evident that the bank’s role and structure did not justify its listing.
In addition, current legislation did not permit for trading in the bank’s shares to be settled through Share Transactions Totally Electronic (”Strate”).
The bank, which is a juristic person in the nature of a public company in terms of the SARB Act, has had its shares listed on the JSE since its inception in 1921.
If the proposal was implemented, shareholders would continue holding shares in the bank as an unlisted juristic person.
Shareholders would however be ensured of the capability of the continued trading of the bank’s shares by means of an Over The Counter market.
The bank’s current share capital is R2-million consisting of 2-million shares of R1 each.
”This share capital structure, which is unlikely to alter, does not lend itself to the JSE’s new listings requirements.”
The proposed delisting was considered by the board of directors at a meeting in Cape Town on 9 November. – Sapa