Granarolo seeks listing to fund growth - Brief Article

Eurofood, Feb 17, 2000

Italian dairy group Granarolo is to float between 30% and 35% of its capital on the market by means of a public sale and subscription offer. The aim is to raise funds to finance its three-year development strategy, which will require at least Lit1.3bn (??671.4m).

Granarolo is negotiating to buy a 50% stake in Calabrialatte, a dairy group which generates annual sales in the region of Lit50bn. Competition authorities have given the deal the green light. Granarolo closed 1999 with consolidated sales of Lit864bn, up 4% on the previous year. Profits before tax amounted to Lit8bn. The company hopes to raise its turnover to Lit1 000bn this year.