LONDON (Alliance News) - Ambrian PLC said Wednesday it plans to raise GBP2.6 million through the issue of convertible loan notes and warrants to some existing shareholders, directors and senior managers, for general working capital and to cover cost overruns at its Cimentos de Beira Limitada subsidiary.
Ambrian provides commodity trading services.
For the half year to end-June the company reported a pretax loss of USD6.4 million, swung from a pretax profit of USD1.2 million a year before, as revenue fell to USD920,691 from USD1.5 million.
Ambrian attributed the fall in revenue to a sharp drop in physical premiums and reduced volumes traded primarily in semi-finished products into the Middle East and Asian markets.
"Market conditions appear to be gradually improving and we expect an increase in trading volumes and firming physical premiums for the products we trade. Trading since 30 June 2015 has made a positive contribution to gross profits and our target is to double our gross margins on trading activities and wherever possible to reduce turnaround time in our trades," said Non-Executive Chairman Robert Adair in a statement.
Shares in Ambrian were down 4.6% at 5.25 pence Wednesday afternoon.
By Hana Stewart-Smith; hanassmith@alliancenews.com; @HanaSSAllNews
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