Johannesburg - Local technology company Gijima plans to delist from the Johannesburg Stock Exchange (JSE) in the second week of May 2015.
The move comes after Gijima announced in February that a company controlled by its founder and chairman Robert Gumede was undergoing a buy-out of minority shareholders.
“The shareholders of Gijima voted in favour (99.38%) of resolutions on the buy-out of minorities and subsequent delisting from the JSE at a general meeting held on 2 April 2015,” reads a statement from Gijima.
“The company is therefore in the midst of the delisting process, the conclusion of which will be the second week of May 2015. The minority shareholders who hold approximately 11% of the company will then receive the R2.20 per share,” reads the statement.
Gijima’s announcement comes after the JSE issued a warning against the company on Thursday.
Gijima faces having its listing on the JSE suspended after it failed to submit an interim report.
A JSE notice on Thursday said that should Gijima fail to submit its interim report by April 30 2014, its listing will be suspended.
Gijima’s share price fell from a high of R340 in February 2011 to an opening low of R1.22 on February 4 this year. Results indicating financial losses hurt the company's stock price.
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.