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Aegean Marine -70% on $200M writedown news; World Fuel could take share

Published 06/05/2018, 12:28 PM
Updated 06/05/2018, 12:28 PM
© Reuters.  Aegean Marine -70% on $200M writedown news; World Fuel could take share
  • Aegean Marine Petroleum (ANW -71.1%) is crushed following news late yesterday that it may need to write off $200M of accounts receivable owed to the company after an internal probe uncovered possible wrongdoing with its finances.
  • Seaport Global analyst Kevin Sterling views the news as a "crippling blow" to ANW as selling bunker fuel is a working capital intensive business, with receivables the company's lifeline and major asset.
  • Sterling says ANW is "severely weakened," providing an opportunity for competitor World Fuel Services (INT +1.7%) to pick up additional market share, as well as the potential for pricing to have an upward bias.
  • Now read: A 10% Yield, Record Earnings, 21 Straight Hikes, 10% Distribution Growth Through 2019


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