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Eqstra offer weighs on Protech interim earnings

Eqstra offer weighs on Protech interim earnings

Photo by Duane Daws

4th October 2013

By: Mariaan Webb

Creamer Media Contract Publishing Editor

  

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Civil engineering group Protech Khuthele expects to report substantially lower earnings for the half-year to the end of August, mainly owing to costs incurred as a result of Eqstra’s offer for the JSE-listed firm.

Protech said on Friday that it had incurred R13-million in costs related to the offer, which lapsed at the end of July. Protech believed that the 60c-a-share offer for the 67% in the company that Eqstra did not own was unfair and unreasonable.

The decline in work from the mining industry and the delay in the roll-out of government infrastructure projects also affected earnings adversely. 

Protech said basic earnings per share would fall to between 2.9c and 3.3c and headline earning per share (Heps) to between 2.5c and 2.9c for the six months ended August 31. This compared with earnings per share of 4.1c and Heps of 3.7c for the 2012 interim period.

The company expects to publish its interim financial results on October 28.

Edited by Creamer Media Reporter

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