Nutritional Holdings’ board has collapsed following mass resignations and the JSE-listed cannabis company appears on the verge of going under. However, the company is putting on a brave face and says its going through a restructure which will see a cash infusion.
The company put out a shareholder update on the JSE’s SENS news service on 9 February 2022, which revealed that:
- Non exec chairperson Helena Dorethea Gruwar, who is CEO of jewellery firm Luxe Holdings, resigned on 2 November 2021
- Audit and risk committee chair Basil Mashabane resigned in Decenber,
- Non-exec director Boy Ngubo quit at the same time
Nutritional said it had not been able to post an earlier update of company news because:
- The board has had resignations during November and December which made it difficult to collate the required information in a timeous manner.
- The CEO, Financial Manager and Financial Assistant had contracted Covid and was unable to compile any reports.
- The holiday season disrupted communications between the various parties needed to complete the updates.
The company has been warned by the JSE that it faces complete delisting if it does not urgently submit its February 2021 financial statements. The company’s shares have been suspended from the exchange since May 2021 when they last traded at one cent.
Nutritional’s statement said it was in the process of interviewing replacements and that its core focus in January was to bring out the February 2021 annual financials. It said it would update shareholders on its status on 17 February 2022.
“Shareholders are advised that Nutritional Holdings is currently undergoing a board restructuring, which will include resignations and new appointments, and is also expected to result in the injection of additional funding into the group and a new strategy,” it said.
By late February, it said, it will also explain why the JSE should not terminate its listing and will simultaneously apply to have the company’s suspension from trade lifted.