McDermott Stock Collapses as it Aims to Improve Capital Structure
Oil and gas engineering firm McDermott International, Inc. saw its shares plummet by about 69 percent Wednesday afternoon.
As of 2pm Central time on Wednesday, McDermott was trading at $1.80 per share.
McDermott’s shares started the day lower on Wednesday than the previous day (opening at $5.73 per share) before a trading halt for pending news, according to finance website MarketWatch. The site said McDermott was on its way to “the biggest one-day decline since the company went public in 1982.”
The Wall Street Journal reported on Wednesday that McDermott had called upon AlixPartners LLP, a turnaround consulting firm, to advise the company on improvements to its cash flow.
On Wednesday afternoon, McDermott released the following statement on its website:
“McDermott International, Inc. routinely hires external advisors to evaluate opportunities for the company. The Company is taking positive and proactive measures, as we have done in the past, intended to improve its capital structure and the long-term health of its balance sheet.”
McDermott's stock ended the day Wednesday closing at $2.16.
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