Still a coin toss
The Aveng results showed improvement on pretty much all levels, but the mining and construction group remains hugely loss-making at a 311.6c headline loss per share, even though this is an improvement on last year’s 1 197c loss per share. The group has also improved its debt situation, but is a long way from being profitable. Even at 5c a share I would stay away. If Aveng is able to start generating profits, there will be plenty of time to buy – and while that will certainly be at a higher price, the risks will be much lower. Right now, buying Aveng is akin to betting on a coin toss.
The Old Mutual project in Sandton.