27th Jun 2014 09:00
LONDON (Alliance News) - Armstrong Ventures PLC saw its shares fall Friday after it said it had been struggling to find a suitable investment, mainly because it is finding it difficult to raise the funds to make an acquisition.
The company, which is classed as an investing company because it currently doesn't have an operating business, made a net loss of GBP262,406 in 2013, wider that the GBP120,997 loss it made in 201, because administrative expenses increased and it booked provisions to cover litigation it had to start to recover a large cash deposit made on a potential transaction.
"We have looked at a number of possible acquisitions for Armstrong but none were suitable to be tabled for the consideration of the shareholders. A greater proportion of the possible transactions that we looked at required funds to be raised as part of the acquisition and the confidence levels on the fund raise were simply not there," it said in its statement.
"Since the end of our financial year the market conditions in our investment sector have continued to be challenging and we do not see any improvement in the near term horizon. The directors are continuing to look for suitable investment opportunities but there can be no guarantee that this will be achieved in the short term mainly due to the very difficult funding environment that we are faced with," it added.
Armstrong Ventures shares were down 16.4% at 0.023 pence Friday morning, one of the biggest declines on the AIM All-Share index.
By Steve McGrath; [email protected]; @SteveMcGrath1
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