The company finished 2016 with a €31 million loss.
Kardan NV (TASE: KRNV;AEX:KARD) finished 2016 with a €31 million loss, after losing €23 million in 2015. The company's equity shrank to only €37 million at the end of December. The company's auditors attached a going concern warning to its financial statements for 2016. Kardan NV, which has only a few million euros in cash left, faces payments to its bondholders of NIS 470 million in February 2018, NIS 450 million in February 2019, and NIS 420 million in February 2020. The company's management, headed by CEO Ariel Hasson, is currently engaged in looking for ways to repay the debt, with an emphasis on finding buyers for its remaining assets. The two main assets are engineering company Tahal Group International BV and Chinese real estate company Kardan Land China, plus a controlling interest in Avis Ukraine.
Tahal is the first important asset that Kardan is now putting up for sale. An investment bank has already been hired to find potential buyers. Kardan wants to sell Tahal to a major international infrastructure contractor that will find Tahal's planning capabilities useful. Kardan's management believes that the sale of Tahal will be completed this year, enabling Kardan to meet its February 2018 payment to its bondholders.
Published by Globes [online], Israel Business News - www.globes-online.com - on March 27, 2017
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