VDM to sell Como after bigger loss

Engineering and construction contractor VDM Group has reported a blow-out in its half-year loss to $60 million, up from a loss of $47 million in the previous corresponding period.

The loss included impairment charges of $18.5 million and occurred despite an 18.6 per cent lift in revenue to $126 million.

The result does not include any revenue that may be affected by outstanding claims and variations.

The company said the value of contingent revenue was in excess of $10 million.

VDM said it has struck a non-binding agreement with Richard Ladyman & Associates, representing the management team, to sell Como Engineers for $5.45 million.

A binding agreement is due to be signed during March.

This follows last year’s sale of another subsidiary, Cape Crushing, for $46 million.