LONDON (Alliance News) - Pan European Terminals PLC Monday said it swung to a pretax loss in 2013 as revenues fell and the company was hit by a major devaluation of its Rosbunker asset.
The hydrocarbon transhipment terminals operator, which is set to be acquired by its major shareholder, posted a pretax loss of GBP18.9 million in 2013, versus a pretax profit of GBP1.1 million in 2012, as revenues fell to GBP15.3 million from GBP20.6 million.
The company said revenues fell as the company changed its strategic orientation at its Baltic Top asset in Kaliningrad, Russia, to focus on lower costs and better margins rather than sales.
Pan European also noted that it was hit by a GBP16.8 million devaluation of its Rosbunker asset in Kaliningrad, following the crisis in Ukraine and a resulting reduction in market interest in assets in Russia.
As a result, in May the company's major shareholder Belphar Ltd made an offer for all of Pan European shares at a price of 22 pence per share, which was a 46% premium to the company's share price on May 20.
On June 17, Belphar declared its offer unconditional with over 90% of pan European Terminal's shares in their hands.
Pan European shares were down 1.2% to 21.25 pence on Monday.
By Tom McIvor; tommcivor@alliancenews.com; @TomMcIvor1
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