Perenti wins historical damages claim

CONTRACTOR Perenti has been awarded a A$10 million settlement relating to historical property damages.
Perenti wins historical damages claim Perenti wins historical damages claim Perenti wins historical damages claim Perenti wins historical damages claim Perenti wins historical damages claim

Staff reporter

The claim dates back to 2004 when property owned by the company in West Africa was damaged by a fire on an adjacent property.

The company actively pursued the claim and will receive the cash settlement, before fees and taxes, in the coming weeks.

"Since the formation of Perenti just over three years ago, our dedicated people have been systematically working through several legacy issues, primarily associated with the historical performance of the AMS business," Perenti managing director Mark Norwell said.

"I am very pleased that the efforts of our team have resulted in the resolution of this long-standing damage claim, delivering circa $10 million of cash to the business and an uplift in FY23 statutory earnings."

The company recently refinanced its debt, securing a new $420 million facility with a syndicate of banks.

Perenti shares were up 2% to 61.7c. Argonaut has a buy rating and $1.25 price target for Perenti.