Mphoko sees red, as Choppies is suspended

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Mphoko's son was imprisoned for violating part of his bail conditions.
Mphoko's son was imprisoned for violating part of his bail conditions.

Harare – Former Vice President Phelekezela Mphoko ‘s business empire is teetering on the brink of collapse following the suspension (with immediate effect) of one of his interests, Choppies, from trading on both the  Botswana Stock Exchange (BSE) and the Johannesburg Stork Exchange (JSE). The retail chain was suspended for failing to timeously publish its audited statement as required. Mphoko is a shareholder in the supermarket chain.

In a statement released by the BSE on Thursday, the operation of the Choppies supermarket will only resume when the company is able to update its audits on time.

“Shareholders are advised that the company has received communication from its exchange of primary listing, Botswana Stork Exchange (BSE), that it has, with immediate effect, suspended Choppies securities following the company’s failure to timeously publish its audited  financial statements for the year ending June 2018,” read part of the statement.

“JSE, the company’s exchange for secondary listing also suspended Choppies operations and both the BSE and JSE will annotate Choppies’ trading status with an ‘S’ meaning suspended.

“Consequantly, Choppies’ trading status on both the BSE and JSE shall be annotated with ‘S’ to indicate the suspension from trading,” the statement further reads.

The Botswana and Johannesburg Stock Exchanges once halted the operation of Choppies’ shares pending clarification over the supermarket chain’s failure to release financial results for the year ended 30 June 2018 in September this year and this development is recurrent.

Mphoko was also involved in a shareholding battle for Choppies in the second half of the year and the matter is still pending.