JSE may suspend trading in Gupta-controlled Oakbay's shares after director quit

Last year Oakbay lost its sponsor to stay on the JSE, while shares in the company have hardly traded at all.

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JOHANNESBURG - The JSE has told the Gupta-controlled company, Oakbay Resources and Energy, it is considering suspending trading in its shares.

The stock exchange says it's considering taking this step because of the resignation of a non-executive director.

Last year Oakbay lost its sponsor to stay on the JSE, while shares in the company have hardly traded at all.

Vestact CEO Paul Theron says this is just the latest in a long line of problems for Oakbay.

“No sponsor, no transfer secretary, hardly any directors and that’s on top of various allegations that there have been suspicious trades and a very liquid stock.”

At the same time, Oakbay Resources and Energy has responded saying it’s now considering what alternatives may be available to it to stop the JSE from suspending the trading of its shares.

Theron says very few investors seem interested in the company.

“The underlying business that they’re in isn’t even interesting, which is Uranium Mining and an oversupplied market for a possible speculative entry into the South Africa nuclear programme.”

(Edited by Zinhle Nkosi)