Embattled property developer Port Bouvard has posted an interim operational loss of $14.1 million on the back of hefty write downs.
In its first half report released today, Port Bouvard said the loss compares with an operational loss of $1.8 million booked in the previous corresponding period.
The latest result was on the back of a 45 per cent increase in revenue to $10.3 million, however a $16.5 million fair value write down and higher expenses pushed the developer deep into the red.
Shares in Port Bouvard have been suspended from trade since October when a deadline of its debt facilities with St George Bank was due.
Since then, Port Bouvard has negotiated a refinance deal to the tune of $167.6 million, subject to a $20 million capital raising.
The developer recently appointed Euroz and Macquarie Bank to assist with capital management strategies as it talks to potential cornerstone investors.
In its interim report, Port Bouvard said it has a short term covenant in its banking facilities that requires the repayment of $20 million plus further amounts that may be required to support the purchase of land at Gidgegannup by April 30 2010.
Port Bouvard warned that if it is not able to secure capital and renegotiate with St George, the value of its assets and liabilities will be affected.
In 2007, Port Bouvard entered into staged contracts with a private landowner to acquire land in Gidgegannup for between $81 million and $90 million.
The developer has lodged a detailed masterplan for Gidgegannup with the City of Swan and the WA Planning Commission to amend the Metropolitan Region Scheme.
Shares in Port Bouvard last traded at 25 cents.
