The company, controlled by Benny Steinmetz, fell 28% on London's AIM following the profit warning.
A statement issued by Bateman Litwin NV (AIM:BNLN) that profits for the year ended 30 June 2009 will be significantly lower than previously indicated, caused the company's share to fall by 27.7% on Friday to £0.21 giving a market cap of £24.2 million. Benny Steinmetz Group Resources Ltd. (BSGR) owns 54.7% of Bateman Litwin, which is a contractor specializing in the design, management and construction of turnkey projects for the petrochemicals and energy industry. Bateman Litwin's Israel offices are in Yokne'am.
Bateman Litwin said, "While EBITDA margin will remain positive it will be impacted by: delay in the award of a number of contracts worth approximately $110 million, the majority of which are in the Advanced Technologies Division, as customers wait to assess the extent of the current economic downturn before committing to new projects; a provision of $8.5 million for a Delta-T legacy project; a provision of $4.3 million for a European energy project due to a change in the project's scope which is currently being re-negotiated with the client ; a $2.5 million increase in contingency for a project in the Former Soviet Union due to continued challenging conditions."
Published by Globes [online], Israel business news - www.globes-online.com - on December 21, 2008
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