MARC HASENFUSS: Zeder’s moment, at last?
Zeder shareholders might prefer to see a cashing out of at least some of the portfolio
PSG-aligned agribusiness Zeder Investments — now shot of Pioneer Foods and Quantum Foods — had some encouraging crimping of the discount the share price offers on the SOTP (sum-of-the-parts) valuation last week. The share price spark followed the resignation of long-serving CEO Norman Celliers, who headed the business for eight rather difficult years in the local agricultural sector.
While much might be made of Celliers’ turgid tenure at Zeder, I suspect the share price shift up was more informed by the board decision "to reconsider the strategy going forward". A change of strategic tack at Zeder could encompass the glaringly obvious option of "value-unlocking in a responsible way". Presumably a value unlock could also entail PSG, the controlling and cash-flush shareholder, pitching an offer to minority shareholders — perhaps at a decent premium to the share price but undercutting the SOTP...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.