Cranswick Share Discussion Threads

[momentos] 10/3/2005 10:30

Amvescap PLC

FORM SAR 3


Lodge with a RIS or Newstrack if appropriate and the Takeover Panel.
A copy must also be sent to the company the shares of which are acquired.

Date of disclosure 10 MARCH 2005

DISCLOSURE UNDER RULE 3 OF THE RULES GOVERNING
SUBSTANTIAL ACQUISITIONS OF SHARES ("SARs")

Date of acquisition.. 8 MARCH 2005

Acquisition in (name of company) ...CRANSWICK PLC

(1) Class of voting shares Number of shares/rights If rights over
(eg ordinary shares over shares acquired shares acquired,
as opposed to the
shares themselves,
specify nature of
rights

ORDINARY 10P 60,000 shares -
- N/A....rights -

(2) Resultant total Resultant total holding Total percentage
holding of voting of rights over shares
shares (and % of (and % of total voting
total voting shares shares in issue)
in issue)

10,551,062 (24.07%) - 10,551,062 (24.07%)

(3)Party making disclosure.... AMVESCAP PLC

(4) (a) Name of person acquiring shares or rights over shares
DISCRETIONARY MANAGED CLIENTS OF AMVESCAP
and, if different, beneficial owner.

(b) Names of any other persons acting by agreement or
understanding (see SAR 5).


Signed, for and on behalf of the party named in (3) above ... M MADEMYR

(Also print name of signatory)... MARIA MADEMYR

Telephone and extension number.... 01491 417215

Note. Under SAR 5, the holdings of and acquisitions by persons acting by agreement or
understanding must be aggregated and treated as a holding of or acquisition by one
person. Note 3 on SAR 5 requires persons who must aggregate holdings to disclose certain
disposals


For full details of the SARs disclosure requirements, see Rules 3 and 5 of the
SARs. If in doubt, contact the Panel on Takeovers and Mergers, Monitoring
Section. Tel. No: 020 7638 0129. Email:[e-mail]

[chester] 04/3/2005 06:45

You remember well MTG.
I agree, I'm unsure which they prefer, higher pig prices or lower pig prices.
I'll try and find out today.

[m.t.glass] 03/3/2005 23:37

Didn't think you pigfarmers had ever forgiven Cranswick for the time they (unintentionally) underpaid you ;-o
(Though in fairness they did repay 3 million quid and sacked the culprit)

(With CWK being pig breeders and pigfood suppliers themselves, I can never work out which side of the equation favours them. But longterm they seem to be winners)

[chester] 03/3/2005 23:30

BTW, pig prices to us farmers have gone up 15% in the last 2 weeks. Massive shortage of pigmeat. Not sure if that favours Cranswick ?

[m.t.glass] 03/3/2005 23:18

- and to think - this thread was such a class place once ;o/

[momentos] 03/3/2005 20:36

Lol the missus is french, so on special occasions we go for a bit of garlic instead.

Goes well with the sausages anyway.

[m.t.glass] 03/3/2005 20:02

Sure are. Why wear anything else?

[momentos] 03/3/2005 18:54

Quiet here. Lots of sausage appreciaters today.

[m.t.glass] 04/2/2005 09:20

I'm back onboard

[m.t.glass] 01/2/2005 17:52

I'm a CWK fan (or I wouldn't have started this thread) but I'm on a mission to quickly raise my capital base this quarter, and that is dictating how I play ;o)

[cat] 01/2/2005 16:57

everyone - well, those few of us that still believe in the stock market - is feeling like that.
Which is why this market might simply keep on going for a lot longer than we all think.
Holding CWK and ready to add.

[diogenesj] 01/2/2005 10:04

I know what you mean. It all seems too good to last at the moment.

[m.t.glass] 01/2/2005 09:47

A bit trigger happy maybe. Zapping anything that dares to even look like reducing my gains ;o)

[diogenesj] 01/2/2005 09:32

Seems to me the Independent is right: average valuation for above average growth, and still worth buying.

The Telegraph is trying to have it both ways. Either they're fully valued, or they're worth buying, but surely they can't be both.

You've been a bit jittery the last few days, MT. :-)

[m.t.glass] 01/2/2005 08:33

So maybe temporarily closing my position on yesterday's bearish-engulfing pattern was not necessary after all. Oh well, banked some gains ;o)

[dom perignon] 01/2/2005 08:27

for info date: 01 February 2005

QUOTE
Sausage maker Cranswick's trading statement suggested that the company is moving in encouraging circles with food sales up 17%. On a p/e of 12 and a well-covered dividend yield of 2.6%, the shares are fully valued but worth buying says the Telegraph

The Independent is more bullish, suggesting this is a sector-average valuation for a company with an above-average track record and growth prospects. Buy

(see the Sealed post above for the link)

[sealed] 01/2/2005 08:00

Cranswick

FRESH food production companies, thanks to the likes of salmonella, BSE and E.coli, have a history that many would prefer to forget. Companies such as Cranswick that are involved in the production of pigmeat have had a special cross to bear in the shape of the hog cycle: an oddly named but damaging price see-saw that has overshadowed this segment of the market for as long as anyone cares to remember.

Cranswick, if you'll excuse the pun, has proved that it is possible for companies to bring home the bacon, however. It seems that farmers' fingers have been burnt so many times by past swings in the hog cycle that they are exploring pigmeat opportunities with more circumspection. The hard edges of the cycle, in other words, have softened. Cranswick has also used the widespread consumer distrust of mass-produced food to its advantage. It has focused the greater part of its attentions on foods that sell at the top end of the quality range on the assumption that these would be sought after by concerned carnivores. Some of the best sausages you will find in Sainsbury's are made by Cranswick. It does a decent line in cooked hams and charcuterie too.

Yesterday's trading statement from Cranswick included evidence that the company is moving in encouraging circles. Food sales rose 17 per cent in the three months to December. Shares dipped on the day but, having jumped 50 per cent since the start of November, they are due a breather. With a p/e of 12 and a well-covered dividend yield of 2.6 per cent, shares are fully valued but worth buying.

[sealed] 01/2/2005 07:58

Cranswick looks tasty at this level

It is pretty difficult to make a decent living as a food supplier, what with the mighty supermarkets flexing their muscles to drive down prices. To do so, a food group needs posh products for which people will pay up, and it needs to keep a very, very close eye on costs across the business. Cranswick fits the bill, as its trading update yesterday amply demonstrated.

Based in Driffield, East Yorkshire, the group sells fresh pork, gourmet sausages, delicatessen cooked meats, and last month it paid £80.6m in cash to buy Perkins Chilled Foods, processor of cooked meats - which is integrating well, it said. The group also includes sandwich-making, animal feed and pet food businesses.

The management has just about completed its massive capital expenditure programme, building four new factories at a cost of £20m and closing five existing sites. The expectation is that proceeds from property sales will cover the one-off costs of the restructuring.

When we last wrote on Cranswick, in May, high raw materials prices, particularly the cost of wheat, were hurting the animal feed business, but this is back in the black thanks to more normal prices and the self-help effects of mill closures. We advised readers to hold off until the interim results in November, then reassess. Those results did indeed prove a turning point for the shares, which have leapt 50 per cent since then. Yesterday, down 5.5p at 561p, they were trading at almost 12 times its broker's earnings forecast for the current year. That is a sector-average valuation for a company with an above-average track record and growth prospects. Buy.

[m.t.glass] 31/1/2005 08:58

Cheers Cat.
Nice ;o)

[cat] 31/1/2005 08:53

Investec:

Cranswick 562p
Food Producers & Processors !Buy
United Kingdom 12m High/Low 562p/334p
Strong trading in food
! Cranswick has produced the best seasonal trading update so far in the sector, confirming it remains in line with expectations at the end of its third quarter.
We are maintaining our forecasts at £23.4m for March 2005 (EPS 39.0p) and £30.6m (49.1p) for March 2006.
! It has been a busy period for the group with a number of new contracts
commencing in food and two major capital projects coming to fruition. The new business wins are now fully reflected in the turnover growth in the food division. At the interim stage the group reported 12% advance in food, but this was only a part reflection of new wins and also excluded the sandwich volume, which came back on stream in September. The run rate is now an excellent 17%. Both sandwiches and fresh pork are showing sales advances in excess of 20% and charcuterie is ahead by 15%.
! The animal feed operations have seen the planned reduction in sales
following the closure of Wellingore. The underlying market, however, has
shown signs of steadying as the UK pig population appears to have levelled out. Despite the drop in turnover, the division has moved back into profit as the fixed costs have been cut, but also margins have improved as grain prices have returned to more normal levels. Overall, we expect the division to be around break even for the full year, after reporting a loss in 1H. March .06 should see the division back in the black.
! In Pet, the turnover was fairly flat in Q3 as it was up against a very strong contribution last year following the addition of a substantial contract. This contract took the old facilities to full capacity so the group has been unable to accommodate any new volume. However, the new pet site is now operational and March 06 should see this business making the most of this additional capacity.
! Also operational is the new sausage facility and the two old units have been closed with the transfer of assets and business handled smoothly. There will be some exceptional costs charged in March 2005 to cover this closure and
the expected closure of the old Buckton (pet) site prior to year end. These costs will be in the region of £0.5-1m. However, the group now has around 4 surplus properties and it is expected that the profit on the sale of these sites will offset any exceptional costs incurred. The sales are expected to be effected in the March 06 year. The total cash proceeds will make a useful contribution to the capital costs of the new sites.
! The group is pleased with the performance to date of its most recent
acquisition, Perkins Chilled Foods. Initial integration has begun with
Cranswick becoming more closely involved in raw material buying, an area critical to achieving a good margin.
! Despite the fabulous run the shares have had since the acquisition was
announced, the rating is still very comfortable. The group is trading on c11.5x for the current year, which is on the sector average. However, the shares are set to show 26% EPS growth next year and we think such a performance is worthy of a sector premium.