Gijima announces delisting date

Johannesburg - Local technology company Gijima [JSE:GIJ] has set a date of May 12 to delist from the Johannesburg Stock Exchange (JSE).

Gijima announced in February that a company controlled by its founder and chairman Robert Gumede was undergoing a buy-out of minority shareholders.

Gijima describes itself as the only 100% broad-based black economic empowerment (BBBEE) IT services company of its size. The company has 2 600 staff.

The delisting of Gijima comes after years of poor financial performance for the company as its share price this year hit a low of R1.22.

Gijima says shareholders of the company voted on April 2 in favour (99.38%) on the buy-out of minorities and the voluntary delisting from the JSE. Shareholders are expected to receive R2.20 per ordinary Gijima.

Subsequently, Gijima has outlined these key dates leading up to its delisting:

April 30, 2015 - Last day to trade Gijima shares.

May 4, 2015 - Resultant suspension of Gijima shares on the JSE to take place as trading opens on the Monday given that Friday 1 May, 2015 is a public holiday.

May 12, 2015 - The voluntary delisting of Gijima shares on the JSE is to take place at commencement of trade.

The move by Gijima to outline its delisting plans comes after it received a warning from the JSE last week for not submitting its interim report.

The JSE warned that Gijima’s listing would be suspended April 30 if it does not submit this report.

However, Gijima says it is “committed to high standards of good corporate governance and transparency”.

“Once Gijima is out of a closed period post the voluntary delisting, Gijima will keep its stakeholders abreast of its solid and satisfactory turnaround progress, and the required salient supporting financial data,” said the company in a statement.

“Guma as the 100% shareholder has committed to continue to provide both operational and financial support to Gijima as it continues with its successful turnaround and growth,” said Gijima.