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Real Economy News in Real Time
R/€ = 15.54 Change: 0.00
R/$ = 13.87 Change: -0.01
Au 1423.82 $/oz Change: -3.88
Pt 846.75 $/oz Change: -3.73
 
 
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Omnia posts full-year loss on mix of negative drivers

25th June 2019 BY: Reuters

Omnia Holdings, a South African chemicals and fertiliser maker, reported a full-year loss on Tuesday as a volatile currency, droughts, changes in the mining industry and difficult global trading conditions dented its business.

The company, which also produces explosives, posted a headline loss per share (HEPS) – the main profit measure used in South Africa – of 112c for the year ended March 31, compared with 991c a year earlier.

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"In the 2019 financial year, the group was adversely impacted by droughts, late rains, a volatile rand, a material slowdown in the local and international mining industry and overall difficult trading conditions resulting in a loss of R407-million," the firm said in a statement.

Omnia, which has been in debt restructuring talks with its creditors, said it had secured a 12-month R6.8-billion bridge facility from its principal lenders in a bid to settle all existing borrowings and overdraft facilities, as of June 24.

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The firm, which raised funds for two acquisitions and a fertiliser plant construction, said last month it would also undertake a rights offer of R2-billion in a bid to cut debt.

"The rights offer will reduce the debt levels to be within the group's targeted range, thereby, affording the group access to undrawn facilities and reducing its cost of capital," the firm said.

Omnia, which had declared a final dividend of 150c in the previous year, did not announce any final dividend plans for this year. 

EDITED BY: Reuters
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