Aryzta to cancel Irish stock market listing as it seeks to reduce costs

ARYZTA is cancelling its secondary listing on Euronext Dublin. The board of the Swiss-Irish food group said it made the decision “after careful review”.

The board said fewer than 4pc of the shares outstanding in Aryzta, which traces its roots back to IAWS, are currently listed on Euronext Dublin. It also cited low liquidity in the Irish listing compared to the main Swiss Stock Exchange (SIX) listing.

In addition, it examined the benefits of having a single compliance and regulatory body, as well as the overall board objective to simplify the group and reduce central costs.

Aryzta said it will communicate further details to CDI holders on maintaining their interest in the company’s shares. It added that CDI holders do not need to take any immediate action until they receive further communication from the group.

Earlier this month,

Aryzta said it had reached agreement with Lion Capital and Invest Group Zouari to sell its remaining 4.64pc interest in French frozen foods group Picard for around €24m.

It initially acquired Picard for €447m and nursed huge losses on the deal when it sold most of its holding in the French company.

In December, the board of Aryzta rejected an offer of CHF0.80 (€0.74) per share from US hedge fund Elliott Advisors which valued the company at €734m “after careful review” and a unanimous decision by the board.

Aryzta was last year the subject of much drama that has seen almost all of the board members replaced in 2020, with the exception of Swiss national Luisa Delgado, who was appointed in 2019.

The Cuisine de France maker’s CEO, Kevin Toland, stepped down in November following the shake-up.

Shares in Aryzta were down 1.3pc yesterday evening in Dublin, trading at 72c.