The JSE has publicly censured AltX-listed Nutritional Holdings for being tardy in providing important information to shareholders, report Fin24.

It has also been censured for not being careful in giving information, as well as publishing unreviewed results. Nutritional Holdings was suspended from the JSE in May 2021, and is also facing a legal battle in January 2023 over its liquidation.

The JSE censured the company over a string of failures related to how it informed shareholders over developments at the company, including letting them think for months that a subsidiary had been placed into business rescue. 

The firm, whose shares were suspended in May 2021 due to late financials, also faces a court battle in January that could see it liquidated.

The JSE yesterday said it had imposed the censures for not releasing information that was price-sensitive, not observing the highest level of care in disseminating information, and failure to publish reviewed results.

In February 2021, Nutritional Holdings had informed shareholders of a decision to dispose of its subsidiary, dry foods manufacturer Nutritional Food, but not only did it have to correct a date contained in that announcement, it informed shareholders its board had ‘unanimously’ voted to place the subsidiary into business rescue, or a form of bankruptcy protection.

Then, in May 2021, the company informed shareholders that the resolution had been passed by a majority, not unanimously, and ‘technically’ it had not been placed into business rescue in February.

Instead, the board had opted to file a High Court application to have it placed in business rescue, which took place in April.

Full Fin24 report