Braemar PLC (LSE: BMS, OTC: BSEAF), a maritime broker, witnessed a nearly 20% slump in its share price during early Monday trading, following potential delays to its annual results that might result in a suspension of its shares.
Auditors are scrutinizing a transaction from 2013 amounting to US$3 million, with instalments continuing through to 2017.
The company has expressed concern in a statement regarding the historical representation of this transaction and the remaining liability reflected in the company’s balance sheet.
Braemar has enlisted an independent advisor FRP Advisory Group PLC (AIM: FRP) to assist with the investigation, which will also involve an inquiry committee headed by Braemar’s non-executive chairman.
The release of the full-year results, initially scheduled for June 30, has been postponed with the specific date to be announced later.
In order to comply with the Financial Conduct Authority, Braemar has sought to suspend share trading starting July 3.
The company confirmed its March update that the anticipated revenues for 2023 would be around £150 million at the least, with underlying earnings of at least £20 million.
If approved at the forthcoming annual general meeting, a final dividend of 8p per share is to be proposed, bringing the year’s total to 12p per share.
As of 10 am, Braemar’s shares have depreciated by 19.4%, trading at 225p.
