most of the time, but today they have gone from having no sense, to having common sense!!! Indeed, they are the ones who said earlier this year, ''in a couple of years PF shares will be 60-70p. What has changed so much? after all we haven't received a solid bid, have we? Quite simply, if July results go well, we may soon after hear the comments ''PF has now reached the price MC bid earlier this year'' From that point any bid received will be genuine and recommended.
MKwarrior, Can you give the source to that article ?
They clearly know nothing about the massive improvement in NPD and yearly increases in marketing spend over the last 2 years ! But oviously the more money you have to through at the brands the faster they will grow !
In April, Premier Foods (LSE: PFD) rejected a 65p per share takeover offer from US foods group McCormick & Company. Shares in the maker of Loyd Grossman sauces and Mr Kipling cakes have since fallen by 30%, but it could be only a matter of time before another bid comes along.
The company owns some famous household brands, but because of its high debt load, many lack investment and now seem outdated. Its collection of brands could do so much better as part of a larger foods group. A merger could bring in more experienced marketing skills and additional financial fire-power, which could allow the new owners to unlock more brand value.
Valuations are supportive of another takeover offer too. Shares in Premier Foods trade at just 4.9 times its expected 2016/17 earnings, with analysts forecasting a 41% rise in adjusted earnings per share (EPS) this year.
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