Nufarm in trading halt over financial issues

File Photo / Dean Purcell

Nufarm Ltd has gone into a trading halt pending an announcement concerning the agricultural chemicals maker's lending and financial arrangements.

Shares in Nufarm, which last traded at $A4.05, will remain in a trading halt until the announcement is made, or commencement of trade on Wednesday, according to a statement from the stock exchange on Monday.

Earlier in the month, Melbourne-based Nufarm said in a market update that its net debt would be higher than previously estimated, in another breach of its financial obligations to its bankers.

Net debt at the end of Nufarm's fiscal year would be about $A620 million, compared to its estimate of about $A450 million provided on July 14.

On July 14, Nufarm also had downgraded its earnings forecast, saying net operating profit would be between $A55 million and $A65 million, well below guidance issued in March for an operating result of $A110 million to $A130 million.

The company is due to release its full year results on Tuesday.

- AAP