Stefanutti Falls Most in 2 Months on Profit Drop, Antitrust Fine
Stefanutti Stocks Holdings Ltd. (SSK), a South African construction company, fell the most in more than two months after saying it expects a “material” antitrust fine and a full-year slump in profit of as much as 50 percent.
The stock slid 4.2 percent, the most on an intraday basis since Feb. 13, to 8.67 rand by 3:58 p.m. in Johannesburg. About 426,000 shares were traded, 1.2 times the daily average over the last three months. Earnings per share excluding one-time items for the 12 months through February will probably be 30 percent to 50 percent lower than a year earlier, the company said in a statement.
Shareholders must “expect” the antitrust “settlement amount to be material,” Johannesburg-based Stefanutti said.
Antitrust regulators and police investigators in Africa’s largest economy are probing alleged illegal collusion for contracts won by construction companies. The nation’s Competition Commission started a fast-track process for the investigation in early 2011.
Stefanutti has lost 7.1 percent since the start of the year, compared with a 0.8 percent decline on the 166-member FTSE/JSE Africa All-Share Index.
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