The S&P/ASX 200 index may have finished the week on a disappointing note, but it still carved out an impressive gain of 1.5% last week.
Not all shares on the benchmark index performed as strongly. Here's why these shares were the worst performers on the ASX 200 last week:
The Vocus Group Ltd (ASX: VOC) share price was the worst performer on the index last week by some distance with a 27% decline. Investors hit the sell button in a hurry after the telco company revealed that yet another takeover approach had collapsed. Energy retailer AGL Energy Limited (ASX: AGL) pulled out of a deal to acquire Vocus following a period of due diligence. It advised that it wasn't convinced the deal would add value for its shareholders.
The Pilbara Minerals Ltd (ASX: PLS) share price was the next worst performer with a disappointing 17% decline over the period. The lithium miner's shares were sold off after it released a production and sales update. Although the company's production was strong again in June, the same couldn't be said for its sales. In light of this weakening demand for its produce, the miner plans to reduce its production in June and July to conserve cash flow and working capital.
The Syrah Resources Ltd (ASX: SYR) share price continued its slide and fell a further 16% last week. The main driver of the graphite producer's decline was its decision to execute a convertible note deed and underwritten entitlement offer to raise approximately $111.6 million. The institutional component of its entitlement offer has now been completed and successfully raised $25 million at 81 cents per share. This was an 18% discount to the last close price. The funds will be used to support the delivery of its Balama Graphite Operation and the progression of its Battery Anode Material strategy.
The McMillan Shakespeare Limited (ASX: MMS) share price wasn't far behind with a decline of 11.5% last week. The salary packaging company's shares came under pressure after releasing a trading update warning of tough trading conditions. As a result, it expects full year UNPATA in the range of $87 million to $89 million, compared to the broker consensus of approximately $92 million.
