Mitchell's Fruit Farm prepares for sale

Published November 21, 2019
Mitchell’s Fruit Farms Ltd has been running growing losses for almost four years now, according to a source. — Dawn/File
Mitchell’s Fruit Farms Ltd has been running growing losses for almost four years now, according to a source. — Dawn/File

KARACHI: Mitchell’s Fruit Farms Ltd on Thursday announced that it has shortlisted two firms for a strategic sale of shares along with transfer of management control.

“The board of directors was informed of the bidding process and firm intentions received from Waves Singer Pakistan Ltd and Bioexyte Foods Pvt Ltd,” the company said in a filing with the Pakistan Stock Exchange.

“The board considered the key recommendations from the management and authorised Najam Aziz Sethi, Syed Manzar Hassan and Nauman Munawar to negotiate and finalise terms of documentation with preferred bidder,” the notice said.

Both companies began their due diligence of the food giant in early August. Bioexyte has bid to acquire 30 per cent of issued and paid-up capital through rights shares along with management control.

A source with knowledge of the transaction told Dawn that Mitchells has been running growing losses for almost four years now and in the last 18 months the directors of the company have had to loan it up to Rs150 million to keep it afloat. In 2018, the company declared a loss of Rs 292.61m, which was Rs30m in 2017.

Published in Dawn, November 21st, 2019

Follow Dawn Business on Twitter, LinkedIn, Instagram and Facebook for insights on business, finance and tech from Pakistan and across the world.

Opinion

Editorial

‘Source of terror’
Updated 29 Mar, 2024

‘Source of terror’

It is clear that going after militant groups inside Afghanistan unilaterally presents its own set of difficulties.
Chipping in
29 Mar, 2024

Chipping in

FEDERAL infrastructure development schemes are located in the provinces. Most such projects — for instance,...
Toxic emitters
29 Mar, 2024

Toxic emitters

IT is concerning to note that dozens of industries have been violating environmental laws in and around Islamabad....
Judiciary’s SOS
Updated 28 Mar, 2024

Judiciary’s SOS

The ball is now in CJP Isa’s court, and he will feel pressure to take action.
Data protection
28 Mar, 2024

Data protection

WHAT do we want? Data protection laws. When do we want them? Immediately. Without delay, if we are to prevent ...
Selling humans
28 Mar, 2024

Selling humans

HUMAN traders feed off economic distress; they peddle promises of a better life to the impoverished who, mired in...