13 Jan 2009 07:00
The Real Good Food Company plc
Consolidation of core business units to form renshawnapier
As previously indicated in its interim results announcement and in the December pre-close trading statement, the Group has undertaken a strategic review of its current operations. The Board has now concluded this review and decided to develop the two principal pillars of the group, by consolidating the Renshaw and Napier Brown Foods businesses into one unit, to be re-named renshawnapier, and based in Liverpool.
The new business unit's strategic focus will be to build and drive value from a broader portfolio of both raw and value-added ingredients, run by a single management team in multiple channels and product sectors, with added flexibility to deliver and meet the challenges ahead.
renshawnapier will encapsulate the strengths of the respective businesses, ensuring their heritage and inherent capability continues and is significantly enhanced in the new, more focused, business structure. This new business will be seeking to leverage its unique position in the market with both current and new customers.
The reorganisation is expected to be cash neutral in fiscal year 2009, but is expected to produce annualised cost savings in the region of £0.8m.
Stephen Heslop, Chief Executive Officer of Real Good Food, comments:
"I am extremely excited about this new development and the prospects it brings to the group. Our new and flatter management structure, with head office and principal business now consolidated onto a single site, will be better able to manage the challenges and seize opportunities within our market places."
Haydens Bakeries will continue to be managed as a separate stand-alone business unit.
13 January 2009
Enquiries:
| The Real Good Food Company plc | Tel: 0151 706 8200 |
| Stephen Heslop, Chief Executive Officer | |
| Lee Camfield, Chief Financial Officer | |
| Shore Capital | Tel: 020 7408 4090 |
| Guy Peters | |
| College Hill | Tel: 020 7457 2020 |
| Gareth David |
Note to EditorS
The Group's two operating divisions are:
Ingredients: renshawnapier is the UK's largest independent non-refining distributor of sugar, supplying customers throughout the industrial, retail and food service industry. The business brings together over a century of heritage, knowledge and delivery of premium quality ingredients as a leading manufacturer to the food industry. It is also a leading manufacturer of marzipans, ready-to-roll icings, baking chocolate and jam supplying major cake manufacturers, high street bakers and retailers.
Bakery: Haydens Bakeries and Seriously Scrumptious produce chilled and ambient premium patisserie and dessert products for supply to retail grocery customers.
Further information about the Group is available via the website:
www.realgoodfoodplc.com
www.renshawnapier.co.uk
RGD.L (RGD)