AusGroup comes short again just when a brighter future beckons

ANNOUNCEMENTS signalling trouble at AusGroup, a Singapore Exchange (SGX)-listed marine project and asset services provider, came fast and furious this month.

It began with key executive changes: the announcement of Shane Kimpton’s resignation as managing director, although he retains the chief executive post, and the departure of chief financial officer Christian Johnstone. Notices of these changes flanked a request for a trading halt of AusGroup’s shares, and were followed thereafter with a trading suspension.

The board said in its suspension announcement that it was in talks with management on the company’s state of financial affairs and that AusGroup was also in “confidential discussions” with several parties for the potential sale of certain assets or businesses, and hence a trading suspension would avoid irregular swings in the stock.