Abengoa SA’s bonds dropped after a report that KPMG detected a 250 million euro ($283 million) cash deficit.
The Spanish renewable energy firm’s 500 million euros of notes due March 2016 fell 3.9 cents on the euro to 81.9 cents and its 375 million euros of securities due April 2020 dropped 6.1 cents on the euro to 43.6 cents, according to data compiled by Bloomberg.
Abengoa’s creditors commissioned KPMG to analyze its accounts and are concerned because the deficit is greater than when they agreed to a right issue, El Confidencial reported, citing people familiar with the situation it didn’t identify. Shareholders approved Abengoa’s plan to sell 650 million euros of new stock by the end of the year.
“KPMG is one of the firms that are engaged by Abengoa within the context of the Capital Increase and the Comprehensive Action Plan,” according to an e-mailed statement from the company. “The report mentioned in the article is one of the reports that includes projections based on several scenarios and should not be read outside the context of a broad action plan.”