Libstar share price jumps on news of Cape Foods acquisition

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The share price of JSE-listed consumer packaged goods group Libstar opened at R5.35 on Wednesday, jumped over 12% on the announcement of its acquisition of CapeFoods, and closed the day 6.54% up at R5.70. Moneyweb BusinessNews NDL_ndumeey

The share price of JSE-listed consumer packaged goods group Libstar opened at R5.35 on Wednesday, jumped over 12% on the announcement of its acquisition of Cape Foods, and closed the day 6.54% up at R5.70. Libstar announced that it has concluded an agreement to acquire the herb, seasoning and spice manufacturer in a trading statement for the half-year to 30 June.

Trading update Libstar, which will release its interim results in September, says its performance in the first half was impacted by supply chain disruptions, significant cost inflation and consumer pressures. It notes that unrealised foreign currency translation gains/losses reduced from a gain of R1.1 million to a loss of R12.6 million. Other income for the period reduced from R15.1 million to R9.4 million. Net finance charges increased by 3% from R45.8 million to R47.1 million.

 

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