Sugar fields are seen on Tambankulu Estate, part of Tongaat-Hulett, in Swaziland. About R13bn has been wiped off Tongaat’s market capitalisation since the end of March 2018. Picture: SUPPLIED
There was blood on the floor for sugar producer Tongaat Hulett on Monday morning as its share price fell as much as 67% to an all-time low after resuming trading following a seven month of suspension. About R13bn has been wiped off its market capitalisation since the end of March 2018, with the embattled sugar producer also struggling to service about R13bn in debt.
Tongaat requested that the JSE suspend its shares in June because its financial results for the year to March 2018 could not be relied on, the company said, but it only came into effect after the shares had already lost three-quarters of their value in the first six months of 2019. Total borrowings stood at R12.