Renouf, bankers in debt huddle

Press, 2 June 1989, Page 14

Renouf, bankers in debt huddle

PA Wellington Renouf Corporation, said yesterday it was discussing with its banks a renewal of debts of $ll5 million due at the end of this month. The amount represented Renouf Corp’s secured bank debt and the company is continuing to work closely with the lenders, it said in a statement. Renouf Corp made a $9.95M loss in the half year to December 31, after a $401.22M loss in the last June year. Reporting the interim loss in March, the company said working capital — current assets less current liabilities — was in the red by $72.5M. Renouf Corp had been reducing debt as quickly as possible, it said. Yesterday’s statement came in response to a Stock Exchange query about a 44 per cent fall in the Renouf Corp share price on Wednesday, from 9c to sc. The company said the fall occurred on a day when about 200,000 shares were traded, representing about 0.07 per cent of its issued capital. Similar falls had occurred in the past, with the shares having traded as low as 8c before Wednesday, it added. The statement said the directors, officers and major shareholders had not been sellers within the last seven days.