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Cosco Singapore plunges to lowest in 11 years on profit warning
[SINGAPORE] Cosco Corp Singapore, the shipbuilding arm of China's China Ocean Shipping Group, fell to the lowest price in more than 11 years in Singapore trading after the company said it will post a "significant net loss" in the fourth quarter.
Cosco Singapore fell as much as 19 per cent to S$0.305, the lowest intraday price since February 2004, and traded at S$0.315 as of 9:09 a.m. in Singapore. The stock has fallen 43 per cent this year, compared with a 16 per cent decline in the benchmark Straits Times Index.
The company expects a significant loss in the fourth quarter as some offshore contracts are deferred or may potentially be canceled, Cosco Singapore said last week. Its shares had been halted since August as its parent China Ocean Shipping Group was in talks to merge with China Shipping Group. The planned combination was announced Friday.