Company requests temporary suspension from stock exchange.
Today has seen a very bumpy and seemingly ominous ride for investors in asbestos and demolition company Silverdell. With trhe share price falling, the company has requested a suspension of its shares from trading pending clarification of the Group’s financial position. According to a statement, further announcements will be made as and when appropriate.
It is just over a year since Silverdell acquired demolition company EDS for a reputed £20 million. As part of that acquisition, Silverdell also got EDS group company Kitsons Environmental Europe Ltd. It is understood that on 13 June Kitsons was served with a winding-up order from a sub contractor.
Although no further information is forthcoming from the company at this time, speculation is rife on the countless share trading forums. One commented:
The usual suspects for “suspension pending clarification of the Group’s financial position” are:
• Covenant breach
• Withdrawal of bank facilities
• Discovery of accounting irregularities
• Discovery of fraud
• Bad debt
• Major project gone wrong
