'Investment in Peanut Company of Australia LimitedMariner...

'Investment in Peanut Company of Australia Limited

Mariner Corporation Limited is pleased to announce to the market that it has settled its acquisition of a strategic stake in Peanut Company of Australia Limited (ACN 057 251 091).

Mariner has purchased 1,441,039 shares in Peanut Company of Australia Limited (PCA) from Guinness Peat Group (Australia) Limited (“GPG”). The acquisition represents a 19.83% of the issued capital.

This acquisition is part of a series of 4 acquisitions from GPG for a total consideration of $3,160,000, as announced to the market on 2 February 2012.
Background information about Peanut Company of Australia Limited: 2010/11 Revenue $55M
2010/11 EBITDA $1.12M Net equity $16.6M as at 30 June 2011 NTA $2.26 per share (30/9/11) Current Management Initiatives
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Business 1 year into a 3 year ‘Strategic Plan’ and on track to achieve target objectives improvements to cost base, margins, stakeholder relationships, systems/processes and inventory management reduction to expenses of $3M or 30% in 2010/11'


Stunning move by the new boys. whenever a predator moves to just under the 20% threshold you assume a full takeover must be in mind.

with revenue of $55 million p.a, net equity of $16.6 million and clear fat waiting to be trimmed in the business it looks like a great deal for MCX.

MCX is a tiny MC company - sub $2 million. more success like this will cause a very sharp SP re-rate.