Almost all of the R1.5 billion investment by JSE-listed Afristrat Investment Holdings Limited in Frankfurt-listed MyBucks SA, a microlender in several southern African countries that collapsed and is now in liquidation, has been lost. Afristrat owns a 42.39% stake in MyBucks after originally providing start-up capital loans to MyBucks but being forced to convert its loans into equity. Afristrat was previously known as Ecsponent Limited.
Default The liabilities of Afristrat resulted in the company announcing on 12 May that it will be unable to pay any interest or capital due and payable to holders of notes with immediate effect which, in terms of Condition 16 of the programme memorandum, will constitute an event of default. Afristrat said it will also make an offer to current holders of preference shares to convert to ordinary shares in the company.