R4.5bn potential hit to Tongaat results

A review by PwC of embattled sugar producer Tongaat Hulett’s financials revealed on Friday that it will have to restate its 2018 accounts, which could have a R4.5bn impact.

The adjustment to the 2018 accounts relates to the way revenue from land sales was recognised, how sugar cane is valued and some costs were capitalised.

Shares in Tongaat slid more than 7% after the latest announcement, which comes two days after the resignation of Jenitha John, the director who chaired the company’s audit and compliance committee. –