South Africa’s Group Five placed in business rescue after lenders pull plug, what you need to know

PUBLISHED: Tue, 12 Mar 2019 11:20:58 GMT
Share

JOHANNESBURG (Reuters) – Troubled South African construction firm Group Five has been placed in business rescue and had its shares suspended from the Johannesburg Stock Exchange, it said on Tuesday.

The company, which has been struggling for some time with cash flow problems and a $60 million compensation claim, said the board had taken the decision after a consortium of its lenders refused to provide additional funding.

Reporting by Emma Rumney; Editing Tiisetso Motsoeneng

Sign Up for Our Newsletter Daily Update
Get the best of CNBC Africa sent straight to your inbox with breaking business news, insights and updates from experts across the continent.
Get this delivered to your inbox, and more info about about our products and services. By signing up for newsletters, you are agreeing to our Terms of Use and Privacy Policy.