All resolutions tabled on the AGM were passed with requisite majority and were adopted accordingly.
In a trading update, management reported that the company will make a small loss in the first half of 2013. Operations continue to be constrained by high levels of borrowings at USD 2.5m at high interest rates.
Management is lamenting the tight liquidity situation that is affecting the group’s performance forcing the company to borrow at punitive rates.
The group is currently working on reducing the level of borrowings through a medium term loan at affordable levels to the company’s operations.
On the Brashware division, the unit is in need of recapitalization however a depleting market share necessitates that the status quo continues.
Scandia steel and wire made a loss in the first three months but the operation is turning positive however, the operation continues to be affected by poor debtor’s payments. The fortunes of the group are not looking very healthy and analysts advise is investors should AVOID the stock until the operations are well capitalised.