Acasta Enterprises Inc. (TSX: AEF) has reported second quarter 2018 revenues of USD 44.1 million, a net loss of USD 96.9 million or USD 1.49 per share, the company said.
Acosta reported an adjusted net loss of USD 17.6 million or USD 0.27 per share (basic and diluted) and adjusted EBITDA of USD (9.8) million compared to revenues of USD 43.4 million, a net loss of USD 0.5 million or USD 0.01 per share (basic and diluted).
Adjusted net loss was USD 2.2 million or USD 0.02 per share (basic and diluted) and adjusted EBITDA of USD 6.4 million for the three-month period ended June 30, 2017.
On June 1, 2018, the Company sold 100% of its shares held in JemPak Corporation at a purchase price of USD 118.0 million. Net cash proceeds were used to reduce debt outstanding and pay fees and accrued interest to lenders.
On May 15, 2018, Acasta monetized its interest in the Stelloan profit participating notes
(PPN) for net proceeds of USD 25.8 million. These proceeds exclude the additional USD 5.0 million in downside protection due from the purchaser of Stellwagen pursuant to the sale agreement.
Proceeds from the sales of JemPak, Stellwagen and the monetization of the PPNs were primarily used to repay debt. As a result, Acasta has effectively reduced its total indebtedness by approximately USD 911.3 million from USD 983.9 million at December 31, 2017 to USD 72.6 million at June 30, 2018.