Titanic shipbuilder Harland & Wolff warns about future prospects (updated)

Harland & Wolff group

12/08/2024 14:08

(Adds details, background from paragraph 3)
       Aug 12 (Reuters) - British shipbuilder Harland & Wolff
 HARL.L  on Monday said it will not be able to finalise its
accounts for 2023 on a going concern basis and has suspended
work to complete its unpublished accounts, as it seeks out
options to stay afloat.
    Shares of the firm, which built the Titanic more than a
century ago, were suspended on London's Alternative Investment
Market (AIM) in July after it failed to submit audited accounts.
    The firm, which survived closure once in 2019, sent its CEO
on immediate leave in July and named restructuring expert
Russell Down as interim executive chairman to oversee "a
recapitalisation intended to give the company sustainable
financial footing."
    The Belfast-based shipyard has struggled to keep up with
competition and is currently working with its financial adviser
Rothschild & Co for options to preserve core operations at its
delivery centres in Belfast, Appledore, Methil and Arnishis.
    The company said it remains reliant on the support of its
existing lender, Riverstone, which at the start of August
increased its facility by $25 million to provide short term
liquidity.
    With resources focussed on Rothschild's process, the board
currently do not believe it can finalise its 2023 accounts on a
going concern basis, it said on Monday.
    Harland & Wolff said the present suspension of its shares
will remain in place and that it was focussed on working with
interested parties to find the best options for preserving the
firm.

 (Reporting by DhanushVignesh Babu and Chandini Monnappa in
Bengaluru; Editing by Varun H K)
 ((DhanushVignesh.Babu@thomsonreuters.com;))