Omega Alpha International IT Holdings, whose CEO resigned this week amid a restructuring exercise, has requested that its share be suspended from trading on the JSE.
The JSE suspended the share this morning.
The Omega Alpha share closed at 9c yesterday. It had lost 40% since last Friday`s 15c close.
The group, which provides software solutions to the retail industry, announced this week that John Flanagan had stepped down as CEO, and that it was undergoing a restructuring exercise.
It says now that as a result of the restructuring, "the directors have been advised that the financial statements as published on 30 May 2001 will need to be restated".
The group reported in May that its headline earnings had plunged to 15.7c per share for the year to February 2001 from 32.1c the previous year.
Net profit fell to R28.9 million from a previous R48.3 million.
The plunge was blamed on contracts entered into before the year-end having to be renegotiated in May.
The group adds that: "The extent of the restatement cannot be quantified at this stage. Further details of the restated annual financial statements for the year ended 28 February 2001, together with the details regarding the restructuring, are anticipated to be released by 31 August, or earlier."
It expects to ask the JSE to lift the share suspension at that time.
Flanagan, one of the group`s founders, has stayed on as a director. COO Jaap Griessel is filling the CEO position until a permanent replacement is made.
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