The trading of MTN Zakhele shares was not back up this morning as initially promised by the administrators of the BBBEE scheme last week.
Instead, they issued a new statement yesterday saying an update will be made this Thursday, 5 December, as to when trading will resume.
The keenly awaited trading of MTN Zakhele shares was launched on Monday last week, 25 November, amid apparent technical glitches. Would be traders complained of the inefficiency of the over the counter (OTC) trading platform as we reported last week.
Problems continued into Tuesday and with it rising frustrations amongst would be traders. The scheme’s administrators halted trading on the MTN Zakhele shares on Wednesday and promised that the trading platform would be back up today.
Yesterday’s statement said “Due to the unprecedented interest in buying and selling these shares, MTN Zakhele suspended trading on Wednesday 27 November to add capacity and re-test the system prior to the resumption of trade.”
An announcement will be made this Thursday, 5 December, as to when trading will resume on the online platform and call centre.”
MTN Zakhele Chairman Thulani Gcabashe said “With the additional capacity that we are adding and changes we are making to our system, we are confident that the system will be able to accommodate additional volumes, but we must complete thorough testing before we resume trade.”
We believe that this is in the interests of all users. We have also taken steps to increase capacity at the call centre to handle an increased volume of calls. The team continues to work round the clock so that we can complete our testing as soon as reasonably possible,” said Gcabashe.
“We will be in a better position to make an announcement by Thursday this week.”
Yesterday statement emphasised that even with trading suspended, registration is still possible on the website and the call centre. Forms are also available for download on the website.
Gcabashe added that “While we regret any inconvenience which users may have experienced, the level of interest remains good news for shareholders as the trading price of the shares depends on demand on the trading platform and liquidity. With this level of interest, this will continue to be a truly successful scheme.”
Before trading was halted MTN Zakhele shares were hovering around the R80 per share mark and about 200000 shares had changed hands. The shares opened with a ruling price of between R80 and R90 per share. This was no surprise as many observers were expecting it to come in at that level.
The scheme which attracted more than 120 000 at establishment in 2010 boasts net asset value of about R135 per share. It was expected that the scheme would trade at a huge discount to its net asset value due to limited liquidity. The technical glitches on the trading platform are not helping the situation.