PFD - Premier Foods PLC

[Q-Ball]

Premier Foods Plc is a food producer, producing a range of category branded and retailer-branded food products. As of December 31, 2008, the Company operated in three divisions: Grocery, Hovis and Chilled & Ireland. The Grocery segment includes grocery products. The Hovis segment includes wrapped bread, morning goods and bulk and bagged flour. The Chilled & Ireland segment chilled and frozen meat-free products, operations in the Republic of Ireland, and its retailer branded chilled ready meal and cake businesses. In March 2, 2009, the Company completes its sales of Martine Specialites SAS and Le Pain Croustillant

The share was cruising around £1 a year and a half ago and then was hit by the credit crunch. Rumours were it was heavily in debt and was struggling to get a refinance deal. The price plumented to 13p. Since then (i came in at 25p) it has been steadily progressing and i think is a decent bet for the mid term.

Share price current at 44p, and i would expect it to hover around the mid 50's.

[Spennyboy]

Hmmm I quite like the look of this, its 45p on the bid since you've posted to - so rising very nicely.

Im always wary of stocks that go up to much to fast - very hard to predict the top and i've been burnt before buying in 'on the rise' and then it loosing 4-5p within hours.

Where oh where is my investment captial

Nice on to watch though, ta

[Roach-Rampino]

36.5p at close today.

[wijit]

you should be aware that the reason for the low price is that in order to raise funds they issued many, many millions of new shares.
Take a look at this;
http://www.lse.co.uk/ShareNews.asp?s...or_share_issue
These are the ones I was looking at buying a while ago. At one point a few years back, they were at over £3, but they've done at least two more issues each of lots of new shares which obviously reduces the value.
Oh, and it wasn't just the credit crunch what hit them. They made far too many expensive acquistions over the last few years, and had to pay millions out in redundancies for factory closures. But they did this using money they anticipated getting, rather than what they have.

[wijit]

Chaps. Sorry to bring this up again. It's worth noting that the prices for PF are now at a silly point (4p when I looked last week). They were basically forced, earlier this year, to replace the ceo, Robert Schofield, who had presided over the quite wreckless buying up of other companies. Now, when putting the huge rise in commodity prices such as wheat which has risen (no pun....) over 50% I would suggest they are ripe for splitting the company and selling off parts which may be less profitable.
Short term this would not have a massive impact on shares but I think over the next twelve months this may well prove to be a decent punt.