Condomi Confidence Slips as Growth Stutters

After news got out that Condomi AG, Germany's only publicly traded condom maker, was in talks with banks to remain in business because of stunted growth, shares plummeted as much as 45 percent, down to €1.31 from €1.62, cutting Condomi's market value by €6.66 million ($8 million) to €8.23 million on Thursday. It’s more bad news for the Cologne-based company which has so far lost 53 percent of its value this year after sliding 87 percent in the previous two years. The banks have “signalized their readiness in principle to take part in a solution,” Condomi said in a statement to the Frankfurt stock exchange released after German share trading ended yesterday. “If these negotiations fail, the going concern of Condomi AG and its direct and indirect subsidiaries with the exception of Unimil SA cannot be ensured,'' the company said. Condomi sources have stated that an emergency package has been prepared and is under consideration by the unnamed banks involved.