Shares in South African Property were down 90% at
The company said, as part of its strategy to sell its remaining assets, it has been unsuccessful in selling the Brakpan asset. Brakpan is a mining town in Gauteng province.
The firm said it had contracted to sell the Brakpan asset for
"The board has concluded that the costs of enforcement will be significant with no guarantees of success. In summary, the company's interest in the Brakpan asset is through a joint venture agreement entered into before the appointment of each of the directors, and which has proven to be poorly drafted," South African Property said.
Accordingly, the board has determined that the remaining interest in the Brakpan Asset is of "little or no achievable value".
For the six months to December 31, the company posted a comprehensive loss of
The comprehensive loss compared to a
As South African Property now considers that it is "no longer practicable" to operate in the hope of generating meaningful proceeds from a disposal of the Brakpan asset, the board will shortly place proposals before shareholders for a voluntary winding-up, the appointment of a liquidator and the cancellation of its shares on AIM.
