Mantengu Mining warns of potential share price manipulation

Mantengu Mining Limited (JSE: MTUE) has issued a warning to shareholders regarding potential manipulation of its share price. The announcement follows inquiries from two shareholders who were approached by Standard Bank Online Share Trading (SBSA), acting on behalf of the JSE, to borrow a total of 1.8 million MTU shares to settle an unmatched trade. The company fears that this activity may be related to either illegal naked shorting or an attempt to profit from a short position, both of which could artificially depress the value of MTU shares. In one instance the JSE was offering ZAR 1,000 for the lending of the 1.8 million shares. The board has urged shareholders to exercise caution when approached with similar requests and to report any such communications directly to the company. Mantengu Mining has referred the matter to its JSE and legal advisors for review.