Stock Market News
Real Good Food to sell Garretts to Kent Foods for £1.8m
AIM-listed Real Good Food has agreed the sale of the business and certain assets of its non-core trading business, Garretts, to Kent Foods for around £1.8m in cash.
The funds raised by the disposal, which is expected to complete later this month, will be used to reduce the group's indebtedness.
Garretts, which sources dairy, sugar and other specialist food ingredients and sells them to large, medium and small food manufacturers across the UK, has been part of Real Good Food since 2005.
But the company said on Friday that the business has more in common with Kent, whose skills and aptitude are better suited to managing its contracts, given Real Good Food's resources are being increasingly focused on serving the end consumer.
In the year ended 31 March 2017, Garretts contributed £21.3m of revenues and an operating loss of £0.9m. It had net assets of £1.9m as at 31 March 2017 and the group expects to report a modest loss on the disposal.
Chief executive Hugh Crawley said: "We are pleased to have agreed the sale of this small, non-core business as part of our plan to improve the group's performance."
At 1240 BST, the shares were up 2.7% to 15.40p.
The funds raised by the disposal, which is expected to complete later this month, will be used to reduce the group's indebtedness.
Garretts, which sources dairy, sugar and other specialist food ingredients and sells them to large, medium and small food manufacturers across the UK, has been part of Real Good Food since 2005.
But the company said on Friday that the business has more in common with Kent, whose skills and aptitude are better suited to managing its contracts, given Real Good Food's resources are being increasingly focused on serving the end consumer.
In the year ended 31 March 2017, Garretts contributed £21.3m of revenues and an operating loss of £0.9m. It had net assets of £1.9m as at 31 March 2017 and the group expects to report a modest loss on the disposal.
Chief executive Hugh Crawley said: "We are pleased to have agreed the sale of this small, non-core business as part of our plan to improve the group's performance."
At 1240 BST, the shares were up 2.7% to 15.40p.
Related share prices |
---|
Real Good Food (RGD) share price |
Stock News headlines are gathered from financial news sources around the web. Views and opinions on each item are from their respective authors and website. They are not opinions of LiveCharts.co.uk
Get a free widget for your website with our latest headlines.
You can now add our live prices and new headlines to your website.The news widget features quotes for Oil prices, spot Gold price and Indices plus a choice of news channel for healines.
Top Shares pages
- Share price quotes
- Share charts
- Share watch list
- Company Results Calendar
- Top Large UK Shares
- UK Market Sectors
- Stock market news
- Company news
- Share tips
- A-Z company search
More share features
POPULAR Share Prices
- Royal Mail share price
- Lloyds share price
- HSBC share price
- Barclays share price
- Prudential share price
- Santander share price
- NEXT share price
- Diageo share price
- BP share price
- Vodafone share price
- British Airways
- Centrica share price
- Tesco share price
- Taylor Wimpey Share Price
- National Grid
- GKP Share Price
- Marks and Spencer
- Rolls Royce
- Rio Tinto
- THG Share Price
- Aviva Share Price
- Boil Share price
- Easyjet Share Price
- Genedrive Share Price
- SSE Share Price
- IAG Share Price
- Boohoo share price
- HE1 share price
- AVCT share price
- BOOM share price