Mercer refinances BNZ loan through to Sep 2019 after warning of covenant breach; shares fall

Mon, 02 Jul 2018

By Paul McBeth July 2 (BusinessDesk) - Food processing and stainless steel equipment manufacturing company Mercer Group has refinanced a Bank of New Zealand loan through until September next year. This follow a warning in May that weak earnings from its Haden & Custance automated handling systems unit meant it might breach banking covenants. The stock fell 8.3 percent, or 2 cents, to 22 cents, matching an 18-month low it set in May. Christchurch-based Mercer's refinancing was accompanied by confirmation the H&C division missed expecta...

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