SFF joins the slaughter
Meat processor and exporter Silver Fern Farms Ltd has joined fellow South Island-based meat company Alliance Group in reporting a big loss for the past year.
The cooperative’s debt reduction and Plate-to-Pasture programmes are “winning strategies” and it is important they are not derailed, he told Rural News.
“We want to invest more in the revenue growth parts of our business, driving our consumer and hotel-restaurant offers into selected high-potential markets around the world.”
The $100m capital raise that Goldman Sachs is scoping for the cooperative would drive such investment, as well as debt reduction, and shareholders will be kept informed and given a clear investment value proposition when appropriate, he says.
“Increased equity is investment in growth and at the same time as paying down debt, turbo-charges the business.”
Hewett acknowledges industry restructure “remains to be dealt with” and says SFF is committed to “sensible rationalisation discussions” with any industry participant.
