PRIVATE INVESTOR. Sasol blooper had no effect on share price.

Byline: Ben Temkin

PRIVATE INVESTOR Sasol blooper had no effect on share price MANY years ago, Union Steel, a company then listed on the JSE, made a blooper when it published its financial results. The company reported that its profits over the reporting period had increased when, in fact, they had fallen. A subsequent report corrected the error.

Unfortunately, between the time of publication and the correction, several investors bought the shares and lost money when the share price fell. One unfortunate victim of the share price loss tried to sue the company for the damages he had suffered. He argued that the management had been negligent and he had been misled into …