Premier Foods announce capital restructure

Posted on 4 Mar 2014 by Victoria Fitzgerald

British manufacturers Premier Foods announced continued review of its future capital structure and intends to update the market when it reveals its 2013 results.

The news comes after press comments concerning a potential financial reshuffle.

In a letter responding to reports of a financial overhaul, Premier Foods made this announcement on its website: “The Group confirms that, further to the announcement made on 23 December 2013, it continues to review the options available to the Group regarding its future capital structure and intends to update the market alongside the announcement of its Full Year results for the year ended 31 December 2013, which will be announced in due course.”

At the end of January the firm needed to raise £350m in a rights issue and had asked Credit Suisse, HSBC and Jefferies banks to underwrite the issue, as well as, prepare to lend the company money while it underwent capital restructuring.

Last month, the St Albans based food manufacturer revealed it would collaborate with The Gores Group on its bread business and plug £28m into groceries.

The group has been grappling with debt for a number of years, however, last year it had expected its debt to fall 10% from 2012. Company shares fell 4.1% at 138.17 pence Monday morning.