Econet released a statement earlier this week advising their investors to think twice before making any decisions to either sell/buy more shares.
The statement sent out by Charles Banda –Group Secretary- read:
The Board of Directors of the Company wish to advise all shareholders, debenture holders and members of the investing public that the Board is engaged in discussions and is considering various proposals which if implemented may have a material impact on the value of the Company’s shares.
Accordingly Shareholders, debenture holders and members of the investing public are therefore advised to exercise caution and consult their professional advisors when dealing in the Company’s shares until further details of the transaction(s) are announced or upon withdrawal of this cautionary.
By order of the Board
Charles. A Banda
Group Company Secretary
I’m not entirely sure whether these discussions will affect the general public but it does seem the impact will be felt by investors.
One response
Article could have explained what a cautionary statement is and also when listed companies usually issue these statements, maybe also done some research on the last time Econet issued a cautionary statement and what transaction involving the company immediately followed that statement.You could also have included Econet’s share price at the time you received news of the cautionary statement. Plus, you are a tech-news site, I suspect you have your ears to the ground on rumours in the ICT sector, so a bit of informed speculation on the possible meaning of the cautionary statement would have been appreciated. All this could have helped to add more meat to the article.