LONDON (Alliance News) -Anglo African Agriculture PLC said on Thursday it saw good progress in its operations for its recently ended financial year, in particular with increased earnings in several of its businesses.
The agriculture-focused investment company said its wholly owned South African spice business, Dynamic Intertrade Pty Ltd swung to a profit for its earnings before interest, taxes, deprecation and amortisation for the year ended October 31.
This was compared to an Ebitda loss for the year before.
In addition, Anglo's agricultural products subsidiary, Dynamic Intertrade Agri Pty Ltd saw its Ebitda more than double in the year.
In mid-September, Anglo African secured enough funding to finance a loan for a logistics port in Kenya.
Around GBP1.1 million was raised through a subscription raising GBP805,000 by issuing 161.0 million shares at 0.5 pence per share, and the issue of GBP250,000 of convertible loan notes, with a conversion price of 0.75p.
The holder of the loan notes will be paid an annual interest rate of 12% in cash within a term of 24 months. If all loan notes are converted, 33.3 million shares would be issued, representing 7.9% of the company's issued share capital.
At the end of August, Anglo African signed a memorandum of understanding to finance the growth of Kenya-based port and logistics group Comarco Group.
"Turning Dynamic Intertrade as well as our 46.8% owned subsidiary, Dynamic Intertrade Agri, around to profitability has been a longer than expected task but I am delighted that we have now achieved this. This is a very significant milestone for the company," said Chair David Lenigas.
"We also believe that our relationship with Comarco will be highly remunerative to shareholders and it is incredibly exciting to now have one of the world's largest LPG traders building an LPG terminal on the port itself. We continue to believe that the Comarco Port offers huge potential and opportunities for AAAP in the current environment of global uncertainty," Lenigras added.
Shares in Anglo African Agriculture were down 2.7% at 0.46 pence on Thursday.
