Kenya's ARM Cement's shares plunge on bond payment report
NAIROBI, July 10 (Reuters) - Shares of Kenya's ARM Cement
dropped by the maximum daily limit of 10 percent on
Tuesday after a newspaper reported that it had missed a bond
The Business Daily newspaper reported that ARM last month
failed to pay bondholders interest on a bond it issued in 2015.
ARM CEO Pradeep Paunrana told Reuters that he was travelling
and would comment on the report at 3:30 p.m. (1230 GMT).
Its shares were trading at 3.25 shillings at 0700 GMT, down
9.72 percent from Monday's close of 3.60 shillings, Reuters data
The shares are down nearly 97 percent from their all-time
peak of 98.00 shillings each at the start of 2014, as the
problems in Tanzania fuelled a collapse of its Kenyan market
share from above 20 percent to the current 10 percent.
The shares were the most heavily traded on the Nairobi
bourse in Monday's session, when they closed down 7 percent
after media reports that the company's auditor had flagged
internal debt worth 21 billion shillings ($208.13 million).
($1 = 100.9000 Kenyan shillings)
(Reporting by Duncan Miriri, editing Louise Heavens)
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