The AST Group`s share was trading 3.41% lower on the JSE by mid-morning today after news that metals and minerals group Iscor is to sell its 30% stake in AST.
At current levels, the Iscor stake is worth about R430 million.
The AST share, which has risen from 224c at the beginning of last week, ended at 264c yesterday.
This was a 3.53% increase on the previous day`s close.
AST issued a cautionary notice after the market closed yesterday, saying hat it was finalising, in consultation with Iscor, the disposal of the Iscor stake in AST.
While it says the process will be an orderly one, it has cautioned that the outcome may have an impact on the AST share price.
Iscor is to be unbundled into separate mining and steel companies. The unbundling may be delayed because of inconclusive negotiations with the Industrial Development Corporation with regard to a rescue plan for the beleaguered Saldanha steel plant.
The Iscor share was trading 2.71% or 80c lower at R28.70 on the JSE this morning.
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