Premier Foods plays down Batchelors sale talk (updated)

Nissin

15/01/2018 10:57

(Updates with details on Batchelors) 
    LONDON, Jan 15 (Reuters) - Premier Foods  PFD.L  said on 
Monday any talks it has had with third parties as part of a 
business review had not yet gone beyond "an exploratory stage", 
playing down talk of a possible sale of its Batchelors noodles 
to Nissin Foods Holdings  9066.T . 
    The statement followed a weekend report in the UK's Times 
newspaper saying Premier was in talks to sell Batchelors, valued 
at more than 200 million pounds ($276.4 million) to Nissin, 
which is its largest shareholder with a nearly 20 percent stake. 
    "The board continues to keep under review any options which 
could potentially add value for shareholders and other 
stakeholders, and accelerate the delivery of the board's 
strategic objectives, particularly with respect to reducing 
gearing," Premier Foods said in its statement. 
    The company, which also makes Oxo stock cubes and Mr Kipling 
cakes, said it had not changed a strategy it outlined in May, 
which includes reducing its ratio of debt to earnings to below 
three times. 
    In June, the company said it was exploring options as part 
of a regular review into maximizing shareholder value, in line 
with good corporate governance.  urn:newsml:reuters.com:*:nL8N1JQ5MP 
    Premier said on Monday that such reviews do periodically 
involve talks with third parties, including Nissin. 
 
($1 = 0.7237 pounds) 
 
 (Reporting by Martinne Geller and James Davey, editing by 
Gareth Jones) 
 ((james.davey@thomsonreuters.com; +44 20 7542 7674; Reuters 
Messaging: james.davey.thomsonreuters.com@reuters.net)) 
 
Keywords: PREMIER FOODS STRATEGY/