Fyffes split on the way - Fruit importer Fyffes told the Dublin Stock Exchange this morning that it wants to effectively split itself into two parts, one to import tropical produce like bananas melons and pineapples and the other to distribute that produce and fruit and vegetables sourced closer to home and from South Africa. Fyffes says it wants to demerge its General Produce and Distribution Business into a separately quoted company by early next year. The existing Fyffes plc, will manage the company's tropical produce business - best known to the rest of us for importing bananas. Earlier this year the company spun off its property portfolio into a separate business.
Fyffes chairman Carl McCann says today's moves follows the successful spin-off of Fyffe's property company Blackrock in May. The company's General Produce division is worth €2 billion. Mr McCann describes it as a very stable business with strong growth prospects. He adds that it should get a significantly higher rating as a separate business. He said the company believes that the two businesses separated are more attractive to investors than as a single company and that this should give the prospect of a much higher share price.
A name has not yet been selected for the new company, and Mr McCann says the company has a number of months in which to find one. The Fyffes management team will be split into two to manage each firm. Mr McCann says he will be Chairman of the new company - subject to shareholder approval - while David McCann will chair the tropical produce business unit.
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CPL Resources' profits soar 83% - There is proof this morning that there is plenty of money to be made in finding jobs for other people. CPL Resources, which recruits for the technology, healthcare, financial services and retail sectors. saw its profits for the year to the end of June increase by 83% to €10.6m. Sales were up 41% at €148m. CPL, which is listed on the AIM market in London, said it placed 12,000 people in a job during its financial year.
CPL's Managing Director Anne Heraty says that the year has been very good for the company. She said that both the permanent jobs market and the temporary staff market were particularly strong. She said the company placed over 6,000 people in permanent jobs in the year to the end of June, and adds that this strong trend has continued into the company's current year. Ms Heraty says that there are tremendous opportunities for those people with the right skills across many sectors. She predicts the big wage sectors will be in the financial services sector and the ICT sector. The pharmaceutical sector is also strong.
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ICG profits up despite restructuring charges - Irish Continental Group this morning has reported pre-tax profits of €2.7m for the six months to the end of June, up from €1.7m the same time last year. You may recall the industrial unrest at the company last year, as the company laid off around 500 of its employees at Irish Ferries and hired cheaper agency crews. It said this redundancy programme cost it €29.1m. That figure is net of a rebate of €4.1m from the Government. In the six months, total passenger numbers were down 11% as low fares air travel continued to hit the ferry industry.
