Origin Enterprises plc announced tofay (14 August) that it has completed the acquisition of a 65% controlling interest in the Brazilian based speciality nutrition and crop inputs business, Fortgreen Commercial Agricola Ltda. (‘Fortgreen’), following the satisfaction of all conditions.
The expression of interest was first announced in June of this year.
“The separate transaction to acquire a 20% shareholding in the Brazilian based agronomy services and crop input distribution business, Ferrari Zagatto E Cia. Ltda., (‘Ferrari’), is expected to complete during the first half of the 2018/2019 financial year.” the Agri-Services Group said in a statement.
Tangible Growth
Fortgreen and Ferrari underline Origin’s strategic priority to scale its technology and service portfolios in markets which provide tangible growth opportunities.
Headquartered in Dublin the group outlined in the statement that the transactions also provide the platform to address itsrequirements for meaningful geographical diversification and seasonality balance.
Origin Enterprises plc delivered a 'robust' third quarter performance against a backdrop of prolonged winter weather conditions resulting in a delay to normal spring growth and crop maintenance activity.
Latest Trading Update
The groups, latest trading update for the nine months to 30 April 2018 also showed that reflecting the later timing of the seasonal demand there has been a positive start to the fourth quarter which is expected to account for a greater proportion of full year revenue and profitability.
"Reflecting the significant seasonality profile of the Group’s operations, Origin generates substantially all
of its profits in the third and fourth quarters of the financial year," the group said in a statement.
The agri-services group's year earnings guidance in adjusted diluted earnings per share is reportedly between 47.5 cent and 48.5 cent.
Management Changes
On 7 June 2018 the Group announced the appointment of Sean Coyle as chief financial officer who will join Origin on 1 September 2018 and will be appointed as a director of the company with effect from 1 October 2018.
As previously indicated Origin will issue its Preliminary Results Announcement for the Year Ended 31 July 2018 on 26 September 2018.
The group also has leading market positions in Ireland, the United Kingdom, Poland, Romania and Ukraine.
© 2018 Checkout – your source for the latest Irish retail news. Article by Donna Ahern. Click subscribe to sign up for the Checkout print edition.
