Samsung Heavy Industries Co. plunged the most on record in Seoul trading after forecasting surprise losses and announcing a share sale plan, underscoring the bleak outlook for the global shipbuilding industry.
The world's third-largest shipbuilder said Wednesday it plans to raise KRW 1.5 trillion won (USD 1.4 billion) by selling new shares in a rights offering. Samsung Heavy, saddled with KRW 3.3 trillion of short-term debt, expects demand for new vessels and offshore projects to continue shrinking and that will push the company into losses this year and next, compared with analyst estimates for a profit.
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