Imtech Declines on Larger Writedown in Germany: Amsterdam MoverFred Pals
Royal Imtech NV, the Dutch provider of 2012 London Olympics stadium infrastructure, fell the most in nearly two months after the company increased a writedown on projects in Germany.
Imtech fell as much as 8.9 percent to 8.10 euros, the biggest drop since Feb. 27, and was down 7.4 percent at 8.23 euros as of 10:12 a.m. in Amsterdam, valuing the company at 774 million euros ($1.01 billion).
The writedown on Germany rose by 70 million euros from an earlier estimate in February to about 220 million euros on valuation problems with projects and debtors in Germany, the Gouda, Netherlands-based company said today in a statement. The company is investigating German and Polish projects and expects to present the results in the summer, Chief Executive Officer Gerard van de Aast said on a conference call today.
“With this new disappointment, total costs taken for the German and Polish projects amount to an enormous 370 million euros,” Edwin de Jong, an Amsterdam-based analyst at SNS Securities, said today. “On the other hand, management is cleaning ship, which is positive,” said De Jong, who has a hold recommendation on the stock.