Dalgety buy-out examined

05 June 1998

Dalgety buy-out examined

LAST months buy-out of Dalgety by directors in reality cost £110 million, not the £50m lauded in the headlines of newspapers, according to The Financial Times.

A case study of Dalgety is published in the papers Private Equity – The Buy-Out Market supplement. It says the £50m was just the sum the parent companies shareholders received for their ownership rights.

The true cost of acquiring the business, whose £1bn annual turnover represents nearly a third of British agriculture, was in fact £110m.

• Financial Times 05/06/98 page VI (Private Equity- The Buy-Out Market supplement)