LONDON (Alliance News) - Adamas Finance Asia Ltd said its loss per share narrowed and its consolidated net asset value more than quadrupled in the first half of the year thanks to its reverse takeover in February, and it's now confident of its future as a credit finance operation.
Adamas changed its name from China Private Equity Investment Holdings Ltd after its reverse takeover in February, a deal that involved an USD87 million asset injection. It is now transitioning into a credit finance business focused on providing funding for well-managed Chinese growth businesses able to offer secure collateral to support their short-term borrowing requirements.
It has a planned programme of asset disposals to release funding for re-investment in cash-generative projects sekking secured, high-yielding credit finance.
Its consolidated net asset value was USD116.6 million at the end of June, up from USD25.5 million at the end of December, while its net loss per share in the six months to June 30 narrowed to USD0.05 cents, from USD0.64 cents a year earlier, despite an increase in costs due to the reverse takeover.
Adamas acquired interests in four special purpose vehicles with stakes in four domestic Chinese businesses - CJRE, Global Pharm, HKMH and Meize Energy - in the reverse takeover.
Its shares were down 13.3% at USD0.650 in London Wednesday morning.
By Steve McGrath; stevemcgrath@alliancenews.com; @stevemcgrath1
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