The latest Investing Matters Podcast with Jean Roche, Co-Manager of Schroder UK Mid Cap Investment Trust has just been released. Listen here.
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What you expect the price to rise longer term lbg
Thanks lbg. Might just keep a close eye on it for a few days. :-)
I would guess Omicane have increased their holding. If you are going to invest here, I would suggest you hold some cash back so you have the option to buy again if the sp drops more. Long term I think RGD will do very well. But talking about 2-4 years. Gl
I've been looking into this company and see no reason for the gain today. Any explanation would be great before I decide whether to invest or not. I'm sure there's a simple one. Thanks
Let's hope so. I decided to top up this morning after realising the sp has halved. Could not of ask for more as I bought when sp was down. A very good day here especially as most shares a cross the board are down.
if it was to hit 10p then they would have to be the ones getting taken to court and it would have to be for more than £40 million. (current drop and the further drop to 10P). the point is this is a great buy right now and further drops will be an even better buy. the company has a NBV of £1.27 and is on a p/e ratio of under 7. thats less than debs which has massive debt
Confidence in the company is a bit shot atm. Down it goes. Will RGD hit 10p and lower on the response of no news after the news of a court case. Probably all because RGS are a little poor at Investor Relations. GLA (waiting on a much lower price to top up).
Yep ASDA supplies RGD sugar now. that started a few back in October. With regards to RGD suing BS over the sugar price it is a good thing imo. It is not a forgone conclusion that RGD will win the case but they do need to try and it will not go well for BS if found guilty for a second time. Do not forget that RGD are working on their supply of sugar from other sources, hopefully to be up and running by 2017. either RGD will win the court case and be awarded a nice lump sum of cash, or they will lose and we will be able to buy RGD at a vastly reduced price. Either way, RGD WILL survive. GLA
I was pleased to see the last post which says something positive about the Company! I have been starting to think that no news is bad news. Would it maybe have been better if we had just paid up to British Sugar and not started the fight? t seems that it has all gone wrong since the ex British Sugar man was appointed!
I recently visited ASDA for the first time in about a year. Get a confused look when i started to get excited about their brand of sugar they sell. its now no longer silver spoon but the sugar sold by RGD! In addition to this it seems to be in all the bargain shops. This might just be one product but for some reason, sugar is a rare product as customers will actually go to a store simply to buy it. This is my experience from working in retail anyway and locations may vary. Looking forward to sitting back and watch this drop till i find the funds to invest
hi jolly. I have £500 in here. Could be buying in again soon if it drops lower. Hope it does tbh. Got to remember, Omicane keep topping up and are close to holding the maximum before they would have to make an offer for the rest of the company.
still in here, sis? choppy, eh?
hoist the sails? it would kill her lol. So unfit these days. I keep getting the horse whip out, but to no avail lol
you could do with a shipmate on here.to hoist the sails and do all the painting.lol.
Given the progress made reshaping the entire business, with brand development and new products on the one hand, and investment in a super-efficient sugar hub and new routes to market for Napier Brown on the other, this news is disappointing. However, we said in our buy tip (61p, 23 Jan 2014) that whatever the short-term hiccups, Real Good Food Company's long-term strategy remains sound, and we still believe this to be true. Investment in the new sugar hub should pay off as Napier increases the amount of sugar it sources from abroad and as EU sugar quotas are abolished in 2017. And money spent improving the other businesses should continue to help them gain market share. True, the magnitude of the downgrade is considerable, and the dispute with British Sugar is serious, but we're sticking with our tip on this one and view the 51p share price as a good buying opportunity. Buy.
Once again Omnicane has topped up. Twice in the last week increasing their holding by 2% to 28% now. Can anyone tell me what the maximum they can hold. Before having to make a bid for the whole company?
Napier Brown says it is confident in its case and claims it has evidence that British Sugar is in breach of commitments it made to the EU Competition Authorities in 1988 after it was fined for abusing its dominant position. Napier also claims that British Sugar is in breach of an agreement reached between the two companies dating from 1990 on how selling prices are arrived at. "We play an important role in the UK's sugar industry, bringing competition to a market where there is a monopoly supplier of beet sugar," a spokesman said. "We have operated in this market for the past 25 years on the basis of the EU Commission findings of 1988. As British Sugar's market share has if anything strengthened since, there is no reason why the 1988 commitments should not remain in force.We will fiercely resist any pricing behaviour designed to force us out of the market." A spokesman for British Sugar said: "The matter was recently considered by the relevant regulator, the OFT which has undertaken a preliminary high level assessment, listened to the respective parties and in February took a decision not to open an investigation. We understand that the OFT will make the CMA aware of the complaint and its decision not to investigate. British Sugar is confident that were the CMA or any other regulator to look at this matter it would find that British Sugar has acted appropriately." The short-term impact on Napier Brown and Garrett Ingredients' results will be significant this financial year. Broker Shore Capital has therefore cut group operating profit forecasts by 89 per cent to £900,000.
Real Good Food Company's (RGD) sugar distribution subsidiary, Napier Brown, has become embroiled in a pricing dispute with British Sugar which has knocked trading and is likely to lead to a small pre-tax loss this year. The news caused the shares to plummet 26 per cent, although they have since clawed back some lost ground, rising 9 per cent on Monday to 51p. The disagreement saw British Sugar withhold sugar supplies from Napier until it acquiesced and agreed to pay the imposed price, as it was under pressure to maintain supply to its own customers. Napier Brown then lodged a complaint with the Office of Fair Trading (OFT), alleging that British Sugar, which owns the entire UK sugar beet crop, had abused its dominant market position by forcing Napier to pay an anti-competitive price for sugar. Napier claims this is preventing it from competing commercially, putting short-term financial pressure on the company and is ultimately threatening its existence in the market. Pieter Totté, chief executive of Real Good Food Company, said: "Given the progress elsewhere within the group, it's disappointing that we find ourselves in the position where a major supplier is, in our view, abusing its dominant market position. If British Sugar is allowed to impose a price on Napier Brown, its largest customer and the UK's largest reseller of sugar, without any reference to market pricing, the consequent impact on UK customers and consumers would be significant." Napier sources sugar from the UK, mainland Europe and all around the world, for customers in the UK. But because of the way the EU sugar quota system works, Napier Brown is in the odd situation of being British Sugar's largest customer, but also its biggest rival. The complaint has been referred to the new Competition and Markets Authority and, if successful, it could result in a significant fine for British Sugar. But a resolution is unlikely to be reached any time soon. The news comes as the EU and world sugar prices have experienced sharp declines. Associated British Foods (ABF), the parent company of British Sugar, warned on Monday that revenue and profit from sugar in the first half of the year would be substantially lower due to falling prices, putting pressure on revenue and margins.
video interview Real Good Food waits on pricing decision Pieter Totté, Chairman of Real Good Food Company (LON:RGF), tells Proactiveinvestors that the pricing dispute the company has with British Sugar is moving to the Competition Markets Authority and could well work out in RGF's favour. Other parts of the business continue to fare well. http://tinyurl.com/olpxebd
Could the timimg of this dispute be connected in any way with the recent appointment of the ex British Sugar MD as Chief Operating Officer of Real Good Food?
I was still planing on researching RDG based on jolly and legobrickgirl's bullishness here and now look at it. What a shame! Hope you weren't burnt too badly. I experienced a huge loss (worse than this) at MOS recently so I know what it's like. You just have to pick yourself up and carry on. GLA
Said before that the price heading towards 70p was too high and it would retrace to 60p ( and luckily it didn't quite get there as I would have topped up), but didn't expect this reaction over this announcement. Strong support at 45p and holding at the moment. I have topped up as I see this overdone as it relates to just one part of the business ( although a large part ). It's not as though they have lost customers, just that they may have to rise prices or have profits squeezed temporarily until the price rises filter through. Looking at a slow rise to 55-60p. Lennie
unpleasant situation...and rgd has plenty of leverage (financial & operating) ...no advice intended
Just sold my remaining shares here due to the RNS. Will monitor for next few months but it does not look good news for the company. GLA
Should of taken my tip. :)