South African sugar producer Tongaat Hulett will delist its shares from the London Stock Exchange (LSE) to cut costs and streamline its shareholding structure amid low trading volumes in the London-listed stock, the company said on Friday.
Tongaat, which said in April it would restate financial information after a formal review revealed certain accounting practices that needed to be re-examined, voluntarily suspended trading in its shares in Johannesburg and London in June.
The company said that it resolved that the volume of trade over the past few years, including the cost of maintaining the secondary listing, does not sufficiently warrant a presence on the LSE.
Tongaat said it would maintain its primary listing on the Johannesburg Stock Exchange.
It added that shareholders as at Sept. 4 on the UK share register, a fraction of the total will be transferred onto the South African share register.