Bumi Armada badly hit by contract cancellation
Published:
March 25, 2016 at 12:54pm
Bumi Armada is the company that is supposed to be building the floating gas storage outfit for Konrad Mizzi’s Corruption Station in Delimara.
It has been hit badly by the surprise cancellation of a contract for an Australian operation.
Maybank IB Research is now reviewing its earnings forecast for Bumi Armada. “The cancellation will bring a negative knee-jerk reaction on Bumi Armada’s stock, and the matter is unlikely to be resolved anytime soon,” Maybank IB said two weeks ago. Bumi Armada’s shares fell steeply soon after the announcement was made but have rebounded since then.
Bumi Armada appointed a new CEO, Leon Harland, last week.
