In afternoon trade the S&P/ASX 200 Index (ASX: XJO) is bouncing back and is on course to record a solid gain. At the time of writing the benchmark index is up 2.7% to 4,668.6 points.
Four shares that have failed to follow the market higher today are listed below. Here’s why they are tumbling lower:
The GrainCorp Ltd (ASX: GNC) share price has crashed 52% lower to $3.33. This heavy decline has been driven by the successful demerger of its malt business. The spun of business, United Malt Group Limited (ASX: UMG), is due to hit the ASX boards this afternoon.
The Nick Scali Limited (ASX: NCK) share price has sunk over 16.5% lower to $2.92. This follows the release of an update on current trading and its upcoming dividend payment. Nick Scali revealed that over the last 10 days it has witnessed a significant decline in both store traffic and sales orders. In light of this and to position itself favourably in the event of any prolonged downturn, the company has deferred the payment of its interim dividend until October. It was due to pay this dividend on Friday.
The OceanaGold Corp (ASX: OGC) share price is down 5.5% to $1.48. Despite the rest of the gold miners rocketing higher after a spike in the gold price, OceanaGold’s shares have tumbled lower after the closure of its New Zealand-based operation. The Waihi Operation will go into care and maintenance mode for a period of four weeks in response to COVID-19 measures being put in place by the New Zealand Government.
The Virgin Money UK (ASX: VUK) share price has sunk almost 16% lower to $1.07. Investors have been selling shares with exposure to the United Kingdom after prime minister Boris Johnson ordered citizens to stay at home in an effort to stop the spread of the coronavirus.