https://www.nzherald.co.nz/business/...LHD7NIKEGRO4I/ Paywalled
There's obviously good money in providing premium dog food to hungry Beagle's...just look how far down that dog food bowl his snout is !...but you've really got to love your dog a LOT to feed them this stuff
Animates has a 4kg bag of Ziwi Peak Daily Dog Cuisine Chicken selling for $193.49 :eek2: Oh my goodness that's over $48 a kilo...I really need to lift my game, I thought treating myself to rib eye steak at $35 a kilo was a special treat. Maybe I should try some of that dog food lol
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Excerpt's
He had no immediate comment on the price, but did confirm the deal is subject to Overseas Investment Office approval - implying it is somewhere north of the agency's $100 million threshold. My comments Nobody has confirmed the price The 1 Billion price tag appears to be nothing but speculation.
Sale rumours first emerged last October, when it was said Ziwi was on the block for around $400 million - Sounds more like it.
Ziwi, which sells primarily across Australia and New Zealand, but also has sales teams in the US and Asia, generates operating earnings of around $50m,
Emphasis added. Operating earnings of $50m not sales of $50m.
Comment. Even if it sold for $1 Billion that's a PE of 20 for a very well established brand (Started in 2002...19 years building that pet food brand is quite a long journey), with very strong growth plans detailed elsewhere in the article and the pet food sector is absolutely white hot at present.
Only a small part of PAZ's business is pet food and this is only just emerging and is yet to be proven to be profitable and there are many many years of brand building ahead.
Last time I checked PAZ was on a PE of 53 on FY20 earnings, who knows what it is on FY21 earnings, if any, seeing as they won't even tell shareholders what the net loss was for the first half and are hiding the actual bottom line result under the auspices that they are still in discussions with the auditors about the accounting treatment of the convertible preference shares issued along with the costs associated with that issue...but said discussions have been going on since the annual meeting. Time for them to finally come clean and say they're "in dispute" with the auditors ?
Iceman a good guy so I am sure it was just an inadvertent error to call it $50m sales instead of $50m operating profit.
The 12,000 square metre kitchen will be approximately the size of four rugby fields and be capable of doubling Ziwi's production over its current three Tauranga sites, the MD said. Production set to double from mid 2022.