News: Boart Longyear plunges 35% on debt fears

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Boart Longyear Limited’s (ASX:BLY) stock lost more than a third of its value yesterday amid fears for its debt load.  

 

The supplier of drilling services and equipment went into a trading halt around noon following reports restructuring specialists had been called in to prevent bankruptcy. 

 

Emerging from the halt before the market’s close Boart Longyear confirmed it has held talks with restructuring advisers as part of its strategic review but denied any material developments.  

 

The company says it continues to evaluate a range of options under consideration with a number of third parties and will announce material developments at the appropriate time. 

 

Shares in Boart Longyear hit a high above $20 in 2007 and have steadily declined since, plunging 34.81 per cent yesterday to close at $0.088. 

 

Boart Longyear reported a net loss of $693 million for the 2013 calendar year.