Major South African city threatened with suspension
The City of Ekurhuleni Metropolitan Municipality faces the threat of having its securities suspended on the Johannesburg Stock Exchange (JSE) after failing to submit its annual financial statements on time.
The JSE issued an alert on Monday (2 February), warning holders of the city’s debt securities that they could be suspended and deregistered.
It noted that the city failed to submit its annual financial statement within the seven-month period stipulated in the JSE’s debt and specialist listings requirements.
“Accordingly, holders of debt securities are warned that…the listing of the issuer’s debt securities and the registration of their placing document is under threat of suspension and possible removal.”
The JSE has now put the city on notice, giving it until 28 February 2026 to submit the required information before further action is taken.
“If the issuer still fails to submit their financial information, then the registration of the Issuer’s placing document and the listing of the Issuer’s debt securities may be suspended,” it said.
BusinessTech asked the city for comment on the notice and an update on the filing of its financial information, and will add it to the article once received.
In terms of the JSE’s listing requirements, issuers need to submit their financial statements within four months after the end of every financial.
However, state-owned entities and municipalities are given an extended window of seven months after the end of each financial year.
Issuers must also publish a notice of availability announcement on SENS at the same time as the audited annual financial statements or interim financial statements are submitted to the JSE.
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