ASSOCIATED BRITISH FOODS^ (ABF, Hold at 2910p). Shore Capital Investor Event. Shore Capital was delighted to host a breakfast meeting with senior management of Associated British Foods (‘ABF’) on 22nd January 2015 in London.
ABF is a long-standing FTSE-100 company that we have admired for many years with its distinctive mix of food and retailing operations, an ambition for broad, balanced and long-term growth all undertaken within the context of an exceptionally strong balance sheet. Such traits reflect well, to our minds upon the group’s management.
We anticipate much focus upon the international discount retail star that is Primark, a business that is charging across Europe with great success and is now on the threshold of the USA. We shall also endeavour to cover the group’s strong Grocery operations, more troubled Sugar activities plus Agriculture, Ingredients and balance street strategy. Driven by Primark, ABF’s shares have performed very well in recent years, a re-rating, set amidst an expectation of a flatter group EPS out-turn in the current year that results in our present HOLD or NEUTRAL weighting recommendation on the company’s shares.
Analysts: Clive Black – 0151 600 3701/Darren Shirley – 0151 600 3702