27th Apr 2016 10:24
LONDON (Alliance News) - Challenger Acquisitions Ltd on Wednesday said it made a pretax loss in its first set of annual financial results, but achieved revenue from its first project in New York.
Challenger, which designs and builds giant observation wheels, said it suffered a pretax loss in 2015 of GBP2.6 million due to costs associated with its initial public offering and acquisition of engineering firm Starneth Group.
It generated revenue of GBP926,000 from technical support services provided by Starneth to the New York Wheel project, which is being constructed by Starneth. Challenger invested USD3 million for a 2.4% interest in the New York Wheel.
In addition to the New York Wheel, Challenger is also working on a project in Jakarta in Indonesia. The company has a pipeline of 25 projects in South East Asia, the Middle East, Europe and the Americas, for which negotiations continue with local developers.
Challenger was formed in November 2014 and listed on the London Market in February 2015.
"Emerging with these two game-changing transactions under our belt (Starneth and the New York Wheel) and with a number of new projects on the horizon, each of which will transform our bottom line, our wheels are well and truly set in motion to deliver significant value to shareholders," Non-Executive Chairman John Le Poidevin said in a statement.
Shares in Challenger were trading down 1.5% at 28.70 pence on Wednesday morning.
By Karolina Kaminska; [email protected] @KarolinaAllNews
Copyright 2016 Alliance News Limited. All Rights Reserved.
Related Shares:
CHAL.L