Levine boosts shares in Severfield
PETER Levine, the chairman of structural steel group Severfield-Rowen, has increased the number of shares he owns in the group by six times after spending almost £1m on shares.
Mr Levine has bought 400,000 shares in the North Yorkshire company at a cost of £992,000. It increases his stake in the company to 465,680 shares, which is 0.53% of the total shares in issue.
The move by Mr Levine, who is the founder of Leeds-based quoted oil and gas group Imperial Energy, follows a trading update by the company last week where it warned that some key markets had softened.
Its shares tumbled more than 37 per cent on the news, down 144p to 245p.
The company helps build the skeletons of structures such as bridges, hospitals and stadiums.
It is best known for its work on Heathrow's fifth terminal and Arsenal's Emirates Stadium.
Tom Haughey, chief executive, said the “froth” had come off the markets for commercial office space in London and the speculative development of warehouses around the UK.
As a result, Severfield said that it would deliver growth this year “but at a somewhat lower level than our previous expectations”.
ABN Amro, the company broker cut its 2008 pre-tax profits forecasts from £52m to £50m.
