Chairman of Mayberry, Christopher Berry. - File
MAJOR INVESTMENT and trading company, Mayberry Investments has removed National Commercial Bank and Dyoll Insurance Company from the Mayberry Performance Index (MPI).
The company, via its website, advised, "We have removed both Dyoll and NCB from the MPI. [The] reasons are as follows: for Dyoll, the negative expected performance in the medium term. For NCB, weak trading technicals, despite strong financial performance."
Mayberry's removal of Dyoll from the MPI coincides with the suspension in the trading of its stock on the JSE yesterday. In fact, 1,207,285 units (with a total value of $17.5 million) of Dyoll shares were sold yesterday, the vast majority disposed of by Mayberry.
The stock closed the trading day at $14.5, losing almost 15 per cent of its value.
The dropping of Dyoll from the MPI coincides with rumours swirling that it's capitalisation has been seriously affected as a result of $900 million paid out as a result of liabilities arising from Hurricane Ivan claims.
An informed source indicated that the company is actively seeking to get cash injection.
The National Commercial Bank, was added to the MPI just over two months ago and Mayberry's decision to remove it from the MPI because of "weak trading technicals" is less dramatic but it does indicate that Mayberry took a pragmatic decision (to protect its investors) in spite of NCB's "strong financial performance."
Yesterday the stock lost $3.45 on the exchange, closing at $19.55. Over 1.5 million units were traded with a value od approximately $30 million.
