Australia's Boart Longyear hits 5-month low on recapitalisation plan with lenders

Air Industries

13/05/2021 05:14

** Shares of drilling services and equipment provider Boart
Longyear Ltd  BLY.AX  drop as much as 28.3% to A$0.38, their
lowest since Dec 18, 2020 
    ** Stock on track for the worst session since Jan 8 
    ** Co says it has reached an agreement with majority of 
lenders for a proposed substantial recapitalisation, of which
its total debt would decrease to less than $200 mln, with about
$795 mln of debt being converted into equity  urn:newsml:reuters.com:*:nFWN2MZ1PI
    ** Says lenders will own 98.5% of the co's
post-recapitalisation ordinary shares  
    ** Boart Longyear has underperformed the S&P/ASX 200
Materials (Industry Group) sector  .AXMAJD  by 9.7 percentage
points in the past one month
    ** Main stock index S&P/ASX 200  .AXJO  slips 0.6%
    ** As of last close, stock up 21.8% this year 

 (Reuters Messaging: donny.kwok.thomsonreuters.com@reuters.net)