[quote=Sam_Kibs]Rights issue looming and i will defend my rights.
http://www.businessdaily...4/-/gpgm3p/-/index.html[/quote]

Utachomeka

@Sam_kibs, what i figured from this announcement is they are back to fundraising because they are not selling. all their money is tied up in inventory. you have no business pegging your hopes on a firm that cannot sell.

i will revisit this thread in 2020

I will be filed under *Bankrupt*

Home Afrika Limited

By marketing the bond as a partially secured
bond and further commencing the process of
encumbering the assets of a subsidiary of the
Issuer, and by purporting to revise the Coupon
Rate to 17%, the Issuer was in contravention of
the terms of approval issued by the Authority.

In the knowledge that the changes above were
inconsistent with the approved Information
Memorandum and contrary to the terms of
approval issued by the Authority thereby
causing the publication and marketing
of unapproved terms of a public offer, in
contravention of Section 30A (4) of the Capital
Markets Act.

By marketing an unapproved Information
Memorandum, the Issuer knowingly
misinformed the public in a false, misleading
and /or deceptive manner that the issue was
a partially secured bond in contravention of
Section 30D (1) of the Capital Markets Act

Enforcement Action

• A Regulatory caution pursuant to section 30G of the
Capital Markets Act;
• Pursuant to Section 11(3)(cc)(ii) and 30G of the Capital Markets Act, an enforcement directive to the Issuer to ensure full reimbursement of all the investors who
submitted applications and funds as subscribers to the
offer.

The company has made a cumulative net loss of Sh126.4 million in the six years ended 2014. This to me looks like a sound company. Not as bad as some people project. How are they paying the Ksh 500 million bond at the 17% interest rate?

http://www.standardmedia.co.ke/business/article/2000195789/cma-orders-home-afrika-to-refund-bond-subscribers-sh300-million

CMA ruled that the changes, contrary to the information memorandum Home Afrika presented and terms of approval of the ill-fated bond, constitute a deliberate "misinformation or deception" of the public. The authority has since demanded Home Afrika to refund the raised amount even though the corporate bond was under-subscribed by 60 per cent. CMA has also penalised NIC Capital and Kingdom Securities, the bond advisors for misleading Home Afrika to revise the coupon rate from 13.5 to 17 per cent.
Read more at: http://www.standardmedia...bscribers-sh300-million

where will they get money to refund?

http://www.standardmedia.co.ke/business/article/2000195789/cma-orders-home-afrika-to-refund-bond-subscribers-sh300-million

CMA ruled that the changes, contrary to the information memorandum Home Afrika presented and terms of approval of the ill-fated bond, constitute a deliberate "misinformation or deception" of the public. The authority has since demanded Home Afrika to refund the raised amount even though the corporate bond was under-subscribed by 60 per cent. CMA has also penalised NIC Capital and Kingdom Securities, the bond advisors for misleading Home Afrika to revise the coupon rate from 13.5 to 17 per cent.
Read more at: http://www.standardmedia...bscribers-sh300-million

where will they get money to refund?