Housebuilder issues City statement after share price is halved this week
Barratt has moved to calm investors鈥� nerves after the company鈥檚 share price fell by more than half since Monday from 120p to 60p.
It followed a fall of 78% over the last month from 276p.
In a statement to the City Barratt said: 鈥淭he company remains comfortable with market consensus forecasts for completions numbers (18,300) and profit before tax and exceptional charges (拢395m).
鈥淭he Group continues to operate within its 拢2.6bn of committed facilities and its banking covenants. Given anticipated completion numbers, net debt at the end of June is expected to be approximately 拢1.7bn in line with previous guidance.鈥�
One analyst said the statement may have done more harm than good. He said: 鈥淚 can鈥檛 see the point of saying anything unless you鈥檝e got a remedy. They have completely ignored the fact the share price has been decimated.鈥�
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