Pan African Resources capital-reduction resolution to correct accounting errors for the period 2019 to 2023 has become effective, although this has been of no consequence to the companys net asset value and number of shares in issue.
At a general meeting of the company last month shareholders passed a resolution in favour of an exercise on capital reduction to enable the company to pay future dividends, address the payment of certain past distributions by the company by way of dividends, and in respect of certain share buybacks as well as the resultant-related party transactions.
Pan African Resources said on Friday this resolution has now been effected.
It said the resolution at the general meeting to approve the cancellation of the companys share premium account, and the reduction of capital have now become effective.
It had said earlier that past dividend distributions had apparently been paid otherwise than in accordance with the Companies Act, 2006.
