Ammtec in halt over revised guidance

Metallurgical testing company Ammtec has entered into a trading halt, pending the release of a revised guidance for the 2009 financial year.

In statement today, the company said it expects to release an announcement and its December quarterly report on Tuesday.

Shares in the company last traded at $1.31.

In October, Ammtec announced that the buyer of its 68 per cent interest in resin manufacturer Purity Systems Inc had failed to settle the transaction by the deadline.

Ammtec was to have sold its majority interest for $29 million.

Ammtec acquired PSI in 2007 but has previously said too much effort and capital was required to develop the resin technology, which would have impacted further on the company's earnings per share.

As a result of the deal falling through, Ammtec had reverted its fiscal 2009 projections to the original guidance of $10 million for net profit, down from $12.2 million.