Trencor falls 5.3% after Textainer warns a large client has gone bankrupt

TRENCOR, which owns 48% of US shipping container leasing group Textainer, fell as much as 5.3% to an intraday low of R31.90 on Monday after warning shareholders a large customer had gone bankrupt.

South Korea-based Hanjin Shipping Company, the seventh largest player in the market which leased 4.8% of Textainer’s shipping container fleet, had a receiver appointed after filing for protection from its creditors. Trencor said the impact of Hanjin’s bankruptcy was being assessed.

Trencor, which was scheduled to release interim results on Tuesday, said it needed more time because of the "onerous and time-consuming exercise of converting" results from the Generally Accepted Accounting Principles (Gaap) standards used in the US to International Financial Reporting Standards used in SA.

Trencor postponed the release of its interim results until October 14.

Textainer’s JSE-listed holding company said it expected to report a headline loss per share of between R2.16 and R2.27 for the six months to end-June from the matching period’s headline earnings of R2.78. This forecast loss does not take into account the possible effect of Hanjin’s bankruptcy, Monday’s statement said.