Animal feed exit pays off for Dalgety
By FWi staff
A RAPID exit from its loss-making animal feed business has enabled Dalgety to repay all its borrowings just 18 months after management bought the company.
Figures for the first 10 months of trading, to March 1999, show the group raised £37 million and associated working capital through 27 disposals.
These included the sale of Spillers Speciality Feeds to a management buyout, and the sale of feed mills at Carmarthen, Fridaythorpe, Aston and Dumfries.
This produced a profit of almost £22m, which was retained in the business to allow continued restructuring in the current financial year.
Since then, the sale of eight out of its 10 remaining feed businesses wiped out the rest of the £50m originally borrowed to buy the business in May 1998.