The new CEO of Aryzta, Kevin Toland, has bought more than $100,000’s worth of shares – a vote of confidence in the long-term future of the struggling bakery group – with stories about potential sell-offs already rolling in.
It comes after the Swiss-Irish company reported revenue down 2.1% to €3.8 billion, and actually reported a net loss of €970.8 million.
Toland bought 3,751 registered shares at a value of CHF 114,531 ($118,000) while chairman Gary McCann bought 4,000 shares at a value of CHF 118,055 ($121,500). The transaction increases his holding in Aryzta to 9,650 shares.
The stake bought by McCann represents a price per share of CHF 29.50 ($30.40), while Toland’s shares were CHF 30.53 ($31.44) each. The day’s average price was CHF 30.39 ($31.30). During the day, Aryzta’s share price fell, before recovering, twice.
It had been reported that Aryzta might offload some assets in order to raise cash and cut debt – and, according to the Irish Times, the first of these sell-offs could be close to fruition.
The newspaper said the firm was “preparing to put its La Rousse Foods business… on the market” and could make the fine foods supplier, which it only bought two years ago, its first divestment.
According to the results, Aryzta had net debt at the end of the fiscal year totalling €1.73 billion.
The Irish Times added that La Rousse could be worth around €30 million.
© FoodBev Media Ltd 2017