PTL - Prestal Holdings

[System]

Symex Holdings Limited (SYM) is a manufacturer of Oleo products. The company produces four main categories of products; oleine, stearine, glycerine and distilled fatty acid, which are processed from tallow and vegetable oils.

http://www.symex.com.au

 

[Knobby22]

Re: SYM - Symex Holdings

Symex Holdings Limited (SYM) is a manufacturer of Oleo products. The company produces four main categories of products; oleine, stearine, glycerine and distilled fatty acid, which are processed from tallow and vegetable oils.

http://www.symex.com.au

And they have trouble making decent money when the $A is high.
I am not sure what the post above is meant to mean. It is just a description.

 

[Joe Blow]

Re: SYM - Symex Holdings

I am not sure what the post above is meant to mean. It is just a description.

It is just a brief description of their business activities and a link to their website. Nothing more than a simple thread starter for those who may wish to discuss the company.

 

[System]

On December 18, 2012, Symex Holdings Limited (SYM) changed its name to Pental Limited (PTL).

 

[piggybank]

Latest Announcement To The Market:- http://stocknessmonster.com/news-item?S=PTL&E=ASX&N=400758

​

 

[greggles]

Pental beating off the bearish blues today after the release of their Half Yearly Report yesterday. PTL finished today after yesterday's financials revealed a solid result after the company expanded its distribution business and executed its brand consolidation strategy.

All in all a surprising result given Australia's current miserable retail environment. I suppose that when you're selling basic household items which people actually need to buy you're in a much better position than those businesses who rely on people's discretionary spending.

In its commentary the company flagged a challenging 2020 with increased competition, margin squeeze and stagnant wage growth. But if it's 2019 result is anything to go by PTL might be a good bet for conservative investors.

PTL finished today at 38.5c, up 14.9%.

 

[Dona Ferentes]

Shoppers panic buying bleach, hand sanitisers and soap have put a rocket under the earnings of manufacturer Pental, placing it on track to post as much as a 35 per cent leap in its full-year pre-tax earnings.

Pental, whose popular grocery brands across cleaning products, soaps and laundry powders include White King bleach, Velvet, Pears, Country Life as well as Jiffy Firelighters, has enjoyed a boom in its sales since February when consumers started stripping cleaning products from the supermarket shelves. Pental also distributes Duracell batteries.

 

[Dona Ferentes]

on Friday, Pental said that, in the wake of the panic buying of its products, it expected its EBIT for fiscal 2020 to be between $6.3 million and $6.8 million, up from $5.015 million in 2019 and a gain of between 25 per cent and 35 per cent.

“Pental is experiencing elevated levels of consumer demand for its White King disinfectant cleaning products and new Country Life anti-bacterial soaps. This increase in demand has seen sales revenue increase over the last two months,’’ “Demand has also increased for Pears soaps as well as battery products, with the company’s Duracell partnership continuing to produce above average returns.”

However, Pental said it has faced challenges in sourcing packaging materials due to disruptions in global supply chains, but was confident in being able to meet demand – provided there are no additional government- mandated restrictions or further COVID-19 disruptions on supply chains.

Such has been the unprecedented demand for its White King bleach from shoppers trying to stay a step ahead the coronavirus pandemic that Pental’s factory in central Victoria is pumping out 90,000 bottles a day of the cleaning agent.

- truly remarkable. And I suspect it isn't going to die down any time soon.

 

[Dona Ferentes]

Cleaning products company Pental, one of the few companies to enjoy booming sales and earnings during the coronavirus pandemic, has surprised investors with a special dividend. Pental, whose cleaning, soap and laundry brands include White King bleach, Velvet, Pears and Country Life, has posted rocketing sales since February as consumers try to protect themselves from the coronavirus.

The company announced a one-off special dividend of 0.7 cents per share, to be paid on August 7 with a record date of July 31.

“The dividend is a sign of strong performance of the company’s portfolio of iconic brands,’’ Pental said in a statement. “Financial year 2020 has seen sales growth in all of Pental’s Australian sales channels with the White King branded products ranged for the first time in Aldi supermarkets and Bunnings Warehouse stores. “The export markets including New Zealand and China also experienced solid growth.”

In April Pental said panic buying of bleach, hand sanitisers and soap had put a rocket under earnings, putting it on track to post as much as a 35 per cent leap in its full-year pre-tax earnings.

Pental said the June quarter saw increased demand for its germ-killing White King range of products. The rejuvenation and extension of the company’s Country Life brand contributed to 37 per cent growth over the previous year.

The company’s “Australian Made” and “Australian Owned” marketing helped during the peak of COVID-19 demand.

Pental chief executive Charlie McLeish told The Australian earlier this year that the company had encountered the kind of sales volumes usually witnessed in Christmas.

“This is busier than Christmas, bigger than any other day or week, bigger than any promotion we have done around spring cleaning,’’ he told The Australian.

Pental Limited will release its 2020 financial year results in late August 2020 and confirm its full year final dividend

 

[divs4ever]

Pental Delivers Strong FY21 Results with Improved Profitability and Fully Franked Dividend Highlights

• Pental has delivered strong performance in the Australian market through both Company-owned and contracted branded product portfolios, with a tight focus on efficiency driving continued margin expansion and underlying net profit after tax (NPAT) growth of 11.7% to $5.61 million
• Final fully franked dividend of 1.6 cents per ordinary share declared, taking total FY21 dividends to 2.6 cents per share. Excluding a special dividend of 0.7 cents per share paid in FY20, this represents a 18% increase on the FY20 dividend of 2.2 cents, with a payout ratio of 63.2% of NPAT
• Pental continues to invest in developing innovative new products with unique points of difference and is supporting its own trusted brands, such as White King, Janola, Country Life and Softly, with strong above the line investment
• Acquisition in early FY22 of Melbourne-based online hamper and gifting specialist Hampers with Bite Pty Ltd brings Pental an online channel customer base, improved scale, e-commerce expertise, revenue synergies and new product capabilities
• Pental is in a strong position to drive continued profitable growth with a healthy balance sheet and a robust, complementary product portfolio that benefits from strong and increasing brand recognition Branded home and hygiene product developer
Pental Ltd (ASX: PTL, "Pental" or "the Company") is pleased to announce strong FY21 results with continued growth in profitability. Financial Highlights Pental's net sales revenue in Australia was in line with FY20 at $109.7 million (2020: $109.6 million). The Company achieved this result despite favourable market conditions experienced in the prior year subsiding early in FY21. Net sales revenue in New Zealand and exports to Asia both decreased year-on-year, by NZ$1 million and AU$0.5 million respectively. The decreases were primarily driven by significant shipping delays flowing from COVID-19 related disruptions and caution from distributors resulting from political tensions between Australia and China. 1 Source: IRI Scan, AU Weighted Grocery, Dollars, MAT 27/06/2021 2 | Page Pental maintained a tight focus on cost controls and profitability throughout FY21, prioritising growth through its own brands as well as agency brands. As a result, the Company grew its underlying EBIT by 10.2% to $8.15 million, with underlying net profit after tax (NPAT) increasing by 11.7% to $5.61 million. Pental continued to deliver margin improvement during the period, with the Company's underlying EBIT margin on net sales expanding by 70bps over FY20. The Company's achievement of $16.05 million in net cash flow from operating activities (including release of approximately $9 million in Duracell related working capital) and 3.94 cents of statutory basic earnings per share (FY20: 3.68 cents) has allowed the Board to declare a proposed final fully franked dividend of 1.6 cent per ordinary share, payable to shareholders on 24 September 2021, with a record date of 6 September 2021. Pental entered FY22 with $12.7 million in net cash and effectively zero debt: a strong balance sheet providing capacity to fund the Company’s strategy of growth through acquisitions, agency agreements, innovation and market expansion. Operational Highlights Sales, Marketing and Distribution Pental maintained healthy momentum throughout FY21 after experiencing a surge in demand for its strong germ-killing products during the first wave of the COVID-19 pandemic. The Company continues to support its own trusted brands such as White King, Janola, Country Life and Softly with strong above the line investment. Pental maintains a strong hold in market share across many segments including White King in liquid bleach segment, Jiffy in firelighters and Softly in wool wash segments maintaining their number one position. 1 These and other initiatives led to significant growth in demand for Pental's Jiffy firelighters which continued throughout the year, further boosted by the Company’s launch of two new innovative scented firelighter products. As a result, Jiffy revenue grew by 44.4% in FY21 compared to FY20. For the first 8 months i.e. before COVID-19 driven demand had been experienced in the prior year, White King branded sales grew by a healthy 11.9%, despite that fact that Pental did not participate in deep price promotions during that period. During the same period, Country Life revenue also grew by 11%. Duracell performed very strongly compared to the previous financial year, despite distributorship agreement changes that took effect at the start of May 2021 which will see Duracell Australia directly manage and supply some of the major retail chains in the Australian market. Duracell revenue was up 24% compared to FY20, and expansion into more profitable channels translated into improved profit margins. Pental estimates the impact of these changes will free up approximately $9 million cash tied in Duracell related working capital. Following Pental's active search and assessment of various strategically suitable acquisition options, the Company was pleased to announce its conditional agreement to acquire Hampers with Bite Pty Ltd (HWB) on 20 August 2021. 3 | Page 1 Based on unaudited FY21 financial and other data provided by HWB HWB HWB is a Melbourne-based online hamper and gifting specialist. Its range of premium hampers and gifts at affordable prices are targeted towards gifts to friends & family and corporate clients. HWB provides customers with the option of creating their own hamper or simply purchasing one of HWB’s pre-designed hampers online. HWB has grown from an approximately $10 million1 revenue business in FY19 to an approximately $24 million1 revenue business in FY21 with an expected EBIT of $5.1 million1 . The Company believes this acquisition brings many opportunities to Pental through an online channel customer base, improved scale, e-commerce expertise, revenue synergies and new product capabilities. New Product Development Pental continues to invest into its product innovation pipeline with a particular focus on sustainability. Pental is making advances in assessing the viability of alternative raw materials and packaging that are sustainable and environmentally friendly. Products with a unique point of difference have long been a strength for Pental, and recognising this, the Company was successful in executing the launch of many new innovative products during the year. This included two variants of Jiffy scented firelighters, toilet gels with additional stain removing capability, enzyme-based stain removers for laundry and specialised laundry cleaning products, the latter under its Softly brand. Leveraging its production strength and available capacity, the Company continues to explore and expand its offering of contractually manufactured products including private label products for leading retailers. Strategic Outlook The Company will continue to deliver on its five strategic priorities:
1. Driving sales growth through key brands
2. Developing new products and sales channels
3. New projects and acquisitions
4. Expanding export markets
5. Continuous manufacturing improvements Pental remains strongly positioned to drive continued profitable growth with a healthy balance sheet, strong and increasing brand recognition and an export and eCommerce strategy that provides significant upside.
Pental Managing Director, Charlie McLeish, said: "We are pleased to deliver a strong FY21 result to our shareholders, especially given the challenges we faced during the year in some of our distribution channels. We have continued to focus on our strengths and 4 | Page have continued to reduce our production costs to remain competitive.
We have done this while remaining proactive in both expanding our portfolio of trusted shelf-stable branded products and seeking to deploy the working capital we unlocked late in FY21 towards a strategic acquisition.
I am delighted to report that our acquisition search has been successful, and I welcome Hampers with Bite (HWB) to our Group.
HWB will transform Pental by boosting our financial scale and delivering new capabilities which are highly complementary to our existing business. Our strong financial and operating performance, coupled with a robust balance sheet, has positioned Pental well to return capital to shareholders via fully franked dividends, while retaining sufficient balance sheet flexibility to accelerate our growth via strategically sound acquisitions. I thank our shareholders, suppliers and customers for their ongoing loyalty and support."

DYOR

i hold PTL ( my average SP is 30.3 cents )

 

[The Triangle]

I like(d) pental... when they were a boring uneventful household soap and general product maker. Buying hampers? I don't see that as complementary. I could start a hamper business right now - what is the competitive advantage? What does Pental bring to it? firestarters and soap hampers? Consumption of household products will not go up with aussies returning to the workplace, so not sure how buying a hamper business will lead to growth in their own products. And why do I have a feeling this is about mates helping mates and acquisitions for the sake of acquisitions over directors looking out for all shareholders? This happens all too often in the market. Pental would have been better off with a product line acquisition (I've thought for years pental and MCP should merge).

And - why are the brothers looking to sell their hamper business which has just had 3 years of growth? why? Wait another year for another year of growth and sell the company for even more... That is unless you are not confident...

But - if this acquisition goes as planned then spending ~$29 million to get $6 million EBIT sounds like a good deal.

 

[divs4ever]

well if i had a young hamper business ( but i don't ) and sensing all the current supply chain issues , i would be far from confident i could sustain the current business let alone grow it

i hadn't looked over MCP to any depth so will refrain from commenting on that

but MAYBE PTL can see a direct marketing angle to increasing sales of products already distributed especially if they make higher end ( low volume ) products , say scented bath soaps as an example ( a similar thing to the original show sample bags to promote extra future sales )

i bought mine in July 2018 @ 30c a share , and so far am not tempted to buy extra

( DYOR )

 

[divs4ever]

Pental Announces Significant Profit Growth in FY22 H1
Branded home, hygiene and e-commerce product developer Pental Limited (“Pental” or the “Company”) is
pleased to update the market regarding its results for the Half Year ending 26th December 2021 (FY22 H1).
Key Highlights
• Pental has delivered strong performance across its diverse Company-owned branded product
portfolio, headlined by a 4-month revenue performance from online hamper and gifting specialist
Hampers with Bite (HWB) that was higher than HWB’s entire FY21 revenue performance, driving
underlying net profit after tax (NPAT) growth of 82.5% to $5.27 million
• FY22 H1 underlying EBIT1 better than forecast at $7.555 million – 78.3% up on the previous
comparative period (PCP)
• Pental lifts its full year FY22 underlying EBIT1 forecast to the range of $10.5 million to $11.0
million – an increase in the range of 28.9% to 35.0% compared to FY21 underlying EBIT of $8.1
million
• Acquisition in August 2021 of HWB has brought Pental an online channel customer base, improved
scale, e-commerce expertise, revenue synergies and new product capabilities. Robust seasonal
sales across both B2B and B2C channels drove HWB FY22 H1 revenue +70.8% on the PCP2
• Multiple growth drivers in 2022:
o Realisation of HWB synergies and cross-selling opportunities with Pental's brands
o Implementation of new HWB non-seasonal growth strategies
o Stronger e-commerce sales following the successful launch of premium brand Bondi Soap
o Development of innovative new products with unique points of difference following the
recent launch of White King, Country Life and Velvet value packs
o Continued sales growth in the New Zealand market, building upon NZ revenue which grew
by 12.1% in FY22 H1 (excluding Duracell)
• Interim fully franked dividend of 1.3 cents per ordinary share, representing a 30% increase on the
FY21 H1 dividend
• Pental remains in a strong position to drive continued profitable growth with strong cash flow and
balance sheet - maintaining an effective net debt free position with $12.9m in cash and $4.7m in
acquisition-related borrowings as at 26 December 2021 - and a robust, complementary product
portfolio that benefits from strong and increasing brand recognition
3 Includes unaudited pre-acquisition figures for HWB.
Financial Performance
The Company is pleased to report strong financial performance for its first half of FY22 which has
exceeded the guidance provided via ASX announcement on 16 December 2021.
Underlying net profit after tax for the 26-week period ended 26 December 2021 was $5.272 million (27
December 2020: $2.889 million) which was more than 17% stronger than the guidance issued on 16
December 2021. Underlying EBIT (Earnings Before Interest and Tax) of $7.555 million was up 78.3% on
the previous corresponding period.

New E-Commerce Business
In line with Pental’s strategy consistently communicated in earlier periods, the Group announced and
entered an agreement to acquire the Hampers with Bite business on 20 August 2021. Following a
successful capital raise of $5.2 million through Tranche 1 of the placement announced on 20 August
2021, the Group completed the acquisition on 1 September 2021. The Group raised a further $5.233
million through Tranche 2 of the placement and a share purchase plan (SPP). In total, the Group raised
$10.046 million (net of costs) in order to facilitate its acquisition of HWB.
Hampers With Bite Pty Ltd (HWB) is a Melbourne-based online hamper and gifting specialist. Its range of
premium hampers and gifts are targeted at affordable prices towards gifts to friends & family and
corporate clients. HWB provides customers with the option of creating their own hamper or simply
purchasing one of HWB’s pre-designed hampers online. Prior to acquisition by the Group, HWB grew
from an approximately $10 million revenue3 with approximately $1 million EBIT3 business in
3 Includes unaudited pre-acquisition figures for HWB.
FY19 to an approximately $24 million revenue3 business in FY21 with an EBIT3 of approximately $5
million.
HWB has continued its strong growth trajectory into FY22, recording revenue of $31.552 million for the 6
months ending 26 December 20213 compared with $18.477 million during the PCP3, an increase of
70.76%. Under Pental’s ownership, from 1 September to 26 December 2021, HWB delivered strong
revenue of $24.987 million with an EBIT contribution of $6.290 million, underpinned by a strong
Christmas season across both B2B and B2C channels.
The Group continues to target key events outside the Christmas season in order to pursue growth in
other months of the year. The Group is also targeting a range of personal care products manufactured at
its Shepparton facilities to be included in new hamper offerings in 2022.
Pental Managing Director, Charlie McLeish, said:
"The incredible growth of the HWB business in the last few years continued even more strongly in the 4-
month period under Pental Group ownership. This growth has increased our confidence that we have
made a strategic move in the right direction. In the macro environment, e-commerce sales are growing
at a much faster pace than traditional brick and mortar store retail. The high calibre team at HWB not
only empowers us to achieve growth through the hampers business, but also equips us to gain scale
outside of our traditional markets with our iconic brands. We are delighted by the contribution that
Hampers with Bite has made to the Pental group and look forward to driving further growth with new
and existing HWB customers in the year ahead.”
Pental consumer products business
As disclosed in the ASX announcement made on 16 December 2021, Pental has experienced more
stable demand in the FMCG segment following the initial wave of COVID-19 outbreaks during late FY20
and early FY21. Non-Grocery channels were negatively impacted in FY22 H1 due to multiple outbreaks
and lockdowns across Victoria and New South Wales. As a result of these factors, Pental’s sales in
Australia for owned brands (excluding HWB) were impacted by 14.9% in the first quarter of FY22. The
revenue trend recovered in the second quarter and sales were up on the PCP by 4.4%. Pental retains a
positive outlook for sales performance of its consumer products business in FY22 H2, to be supported by
its recently launched e-commerce channel and commencement of product supply into a major hardware
channel which was delayed due to multiple lockdowns.
New Zealand net sales revenue increased by 12.1% compared to the PCP (measured in AUD) as
Pental’s key brands continue to perform strongly in the New Zealand market in key categories i.e. bleach,
cleaners and manual dishwash. Expansion into Asia continues to lag due to COVID-driven disruptions to
small distributors and an unpredictable and tense political environment between Australia and China.
Owned brand sales into Asia were $0.485 million in FY22 H1 compared to $0.703 million in H1 FY21.
Pental has been impacted by rising input costs of approximately $1.5 million in FY22 H1 due to a sharp
and significant rise in the price of commodities used in its manufacturing. Tallow and vegetable noodles,
which are used in Pental’s soap products, have been most severely impacted by increasing prices further
escalated by paraffin (used in firelighters), international freight and a weaker Australian dollar. Pental is in
the process of implementing a price recovery strategy which includes appropriate substitution of raw
materials where possible as well as strategic price increases through which the Company expects to
recover these higher costs of production with effect from early FY22 H2.
During the period the Company successfully invested in upgrading fire protection systems at its
Shepparton manufacturing and warehouse facility, leading to significant annualised savings of
approximately $0.5 million in insurance premiums effective 1 December 2021.
Marketing: The first half of the year saw a committed focus on promoting Pental’s core brands across
multiple digital platforms, utilising static, animated and video creative. Since July 2020, the Group has
garnered more than 25 million impressions while reaching more than 14 million highly targeted Australian
consumers via paid advertising, programmatic displays and consumer promotions. Traditional outdoor
advertising also complemented the digital activity with White King and Country Life featuring on billboards
and FM radio nationally.
The Hampers with Bite FY22 H1 marketing initiatives continued under Pental’s ownership, resulting in
sales exceeding all expectations. HWB performed without disruptions despite the challenges posed by
COVID-19. Strategic advertising ensured both the B2B and B2C channels both achieved significant sales
growth.
Outlook
Pental is pleased to report better than expected FY22 H1 profitability and now expects that FY22 full year
EBIT will be in the range of $10.5 million to $11.0 million – an uplift in the range of 28.9% to 35%
compared to FY21.
The Group will continue to focus on the following key strategic objectives in the second half:
1. Ensure full price recovery on all commodity and freight costs increases incurred in the first half
2. Driving sales growth through key brands in both the e-commerce and traditional sales channels
3. Developing new products for both the Hamper and traditional sales channels
4. Developing a full year calendar of events in the e-commerce sales channels
5. Continue to explore additional acquisition opportunities
6. Develop and grow the Bunnings and other partnerships
7. Continuous manufacturing improvement at the Shepparton operations
Dividend
In respect of the half year (26 weeks) ended 26 December 2021, the Company will pay an interim fully
franked dividend of 1.3 cents per ordinary share, payable to shareholders on 23 March 2022, with a
record date of 28 February 2022.
For more information, please contact:
Investor queries: Oliver Carton, Company Secretary, Pental Limited, tel: +61 3 9251 2311


=============================================================================================

DYOR

i hold PTL ( my average SP is 30.3 cents )

will probably do OK while the virus phobia persists

nothing exciting but a handy 'bottom drawer' stock

 

[frugal.rock]

Really must be some good meds your on div's...
You've posted in the original PTL thread before... ? ??

PTL - Prestal Holdings

Symex Holdings Limited (SYM) is a manufacturer of Oleo products. The company produces four main categories of products; oleine, stearine, glycerine and distilled fatty acid, which are processed from tallow and vegetable oils. http://www.symex.com.au

www.aussiestockforums.com

@Joe Blow mop and bucket again please, aisle 5 ?

 

[divs4ever]

the meds are rather strong ( 4 of the 5 are maximum dose ) yes

but bought PTL as a portfolio stuffer / safe-haven back in 2018 ( and NO i didn't see a virus coming , i was just worried above a financial meltdown )

but if we don't talk about SOME bottom-drawer stocks , we will probably end up like HC

 

[divs4ever]

Trading Update
Pental Limited (“Pental” or the “Company”) today updated the market concerning its expected unaudited
financial results for Half Year ending 25
th December 2022 (H1).
Highlights
• Pental’s owned brands (+2%) and contracted brands (+10%) segments are expected to maintain
revenue marginally ahead of the previous comparative period (pcp).
• Healthy performance of owned brands in domestic market – sales expected to be up 6% compared
to pcp.
• Hampers with Bite (HWB) H1 revenue leading into Christmas expected to be approximately $20
million (down 20% compared to pcp) impacted by changed economic conditions and a fully open
economy compared to pcp when most of Australia was in lockdown during first quarter of FY22.
• HWB revenue for quarter ending Dec 22 expected to be up 13% compared to quarter ending Dec
20* and 55% compared to quarter ending Dec 19* which was not impacted by COVID 19.
• Pental expects FY23 H1 underlying EBIT to be approximately $4.6 million - 39% down on pcp.
• Pental expecting to maintain interim dividend at 1.3 cents per share in line with pcp.
• Full Year FY23 EBIT expected to be in the range of $7.5 million to $8.5 million – a decrease in the
range of 30% and 21% compared to FY22 underlying EBIT of $10.783 million.
• Increased input cost of commodities and freight impacting core business margins in FY23 H1
• Cost recovery strategies implemented for FY23 H2, with cost of key raw materials stabilising towards
the end of H1.
• Expecting to maintain an effectively debt free position with ~$5m in cash and $2.975m in acquisition
related borrowings forecasted as at end of H1.


=============================================================================================

DYOR

i hold PTL ( my average SP is 30.3 cents )

a top-up opportunity ??

i had better work out a target price in case this gets smashed

 

[divs4ever]

PTL is my tip for January 2023

i see 'noise ' about a 'virus wave' escaping from China ( coincidentally right in time for the Asian New Year festivities )

i think there MIGHT be a rise in demand for cleaning/sanitizing products in the coming month

however if i am wrong ( and i often am ) , i am willing to add more sub 30 cents a share

good luck everybody and have a safe new year

 

[divs4ever]

Divestment of Pental Consumer Products
Business Branded home, hygiene and e-commerce product developer and supplier Pental Limited (“Pental”, or the “Company”) is pleased to announce the divestment of the Pental Consumer Products Business and Shepparton manufacturing facility subject to certain conditions precedent, including shareholder approval and an independent expert concluding that the transaction is fair and reasonable.

Divestment Highlights
• Pental to divest to Selleys, a division of DuluxGroup (Australia) Pty Ltd, (“Selleys”) the Pental Consumer Products business (excluding Duracell and Bondi Soap) and the Shepparton manufacturing facility for a total sale price of $60m (excluding debtors and creditors) on a debt and cash free basis, subject to adjustments and subject to certain conditions precedent, including shareholder approval under Listing Rule 11.2 and an independent expert concluding that the transaction is fair and reasonable (“Proposed Transaction”).
• Proposed Transaction expected to complete on or around 30 October 2023, following shareholder approval and satisfaction of other conditions precedent.
• Following completion of the Proposed Transaction, and subject to further review at the time of completion of the Proposed Transaction (and again at the time of the second special dividend mentioned below), Pental intends to return approximately 31 cents per share back to shareholders through the following:
o a fully franked special dividend of up to approximately 6 cents per share (aggregate of $10.2 million) (expected to be paid on or around 15 December 2023);
o an intended capital return of up to approximately 18 cents per share (aggregate of $30.7 million) subject to shareholder approval at Pental’s 2023 annual general meeting and tax advice (expected to be paid on or around 15 December 2023); and
o an additional fully franked special dividend of up to approximately 7 cents per share (aggregate of $11.9 million) to be paid 8 months after completion of the Proposed Transaction.
• The above distributions to shareholders are in addition to the fully franked dividend of 1 cent per share to be paid on 6 October 2023 (as disclosed in Pental's FY23 results announcement on 31 August 2023).
• Following the sale, payment of the expected dividends and capital return (aggregate up to approximately $54.5 million), payment of transaction and separation costs (approximately $5 million) and repayment of bank debt ($1.3 million), Pental is expected to have a healthy positive net cash position.
• Pental committed to grow its e-Commerce business, with clear strategy and strategic investments.
• Pental’s directors unanimously recommend Pental shareholders vote in favour of the sale of the Pental Consumer Products business and the Shepparton manufacturing facility in the absence of a superior proposal and subject to an independent expert concluding that the transaction is fair and reasonable and intend to vote any shares they own or control in favour of the Proposed Transaction subject to those same qualifications.
• Pental's major shareholders have informed Pental that they are supportive of the Proposed Transaction and have provided unconditional (approximately 19.90%) and conditional (approximately 22.98%) commitments to vote in favour of the Proposed Transaction which in aggregate (together with the conditional voting commitment received from Pental's independent director Mark Hardgrave (see below)), represent voting commitments in respect of 43.09% of the voting shares in Pental as described further below.
• Pental’s major shareholders Alan Johnstone and John Homewood have informed Pental that they are supportive of the Proposed Transaction and have undertaken in favour of Pental to vote shares held or controlled by them in aggregate representing approximately 19.9% of the voting shares in Pental in favour of the Proposed Transaction.
1 Alan Johnstone and John Homewood have separately informed Pental that they intend to vote the remaining shares held or controlled by them in aggregate representing approximately a further 19.07% of the voting shares in Pental2 in favour of the Proposed Transaction, in the absence of the directors of Pental recommending a superior proposal and subject to an independent expert concluding (and continuing to conclude) that the Proposed Transaction is fair and reasonable to non associated Pental shareholders (the "Voting Qualification").
• Pental’s other major shareholder, Kevin Bamford, who holds or controls 3.91% of the voting shares in Pental, has also informed Pental that he is supportive of the Proposed Transaction, and has confirmed that he intends to vote such shares in favour of the Proposed Transaction, subject to the Voting Qualification
• Mark Hardgrave, an independent director of Pental, who holds or controls 0.21% of the voting shares in Pental, has separately confirmed to Pental that he intends to vote such shares in favour of the Proposed Transaction, subject to the Voting Qualification.3
• The Board believes that the Proposed Transaction represents an offer from a reputable global counterparty, an attractive price and provides a bright future for the longevity of the brands, facilities and employees.

i hold PTL

assuming the return is 31 cents a share that will make me about break-even ( not counting any franking credits )

do i risk buying extra in any reasonable dip ???

( accumulating the stripped down business )

DYOR

 

[System]

On November 14th, 2023, Pental Limited changed its name to Prestal Holdings Limited.

 

[divs4ever]

Return of capital update, dividend reclassification, strategic review & market update.

Prestal Holdings Limited (“Prestal” or the “Company”) provides the following updates concerning the return of capital of $0.18 per Share approved at the 2023 Annual General Meeting, dividend reclassification, current market trading conditions and commencement of a strategic review.

1. Return of Capital:
Further to the ASX Announcement dated 6 March 2024, Prestal confirms that is has received a draft ruling from the ATO in relation of the proposed capital return of $0.18 per Share on behalf of its shareholders.

Prestal will now proceed to finalise the payment of the capital return, based on the timetable below:

Item Date Record date for capital return 17 May 2024
Capital returned to shareholders 24 May 2024

In addition to the capital return, a final fully franked special dividend of $0.07 is expected to be paid on or around the 1st of July 2024.
2. Dividend Reclassification

Further to the ASX announcement dated 28 February 2024 in relation to dividend clarification, the Board wishes to advise shareholders that the interim dividend of $0.06 per Share paid on 11 March 2024 has been reclassified to a special dividend.

All other details in relation to the dividend paid, including franked amount, remain unchanged.

3. Market Conditions

As previously flagged in the H124 Results announcement, Hampers with Bite continues to face tough economic headwinds which have resulted in weaker sales revenue from consumers.
Those conditions are expected to remain for the rest of FY24.

In response, the Board has committed to continuing to implement cost-saving measures and will monitor the situation to ensure the business is well-placed to respond to improved market conditions.

4. Strategic Review Commencement Pental will undertake a strategic review of the business with respect to current operations and growth initiatives moving forward.

As part of the strategic review, the Board has appointed Henslow Pty Ltd (“Henslow”) as an advisor to the Board.

For more information, please contact: Investor & media queries: Oliver Carton, Company Secretary, Prestal Holdings Limited, tel: +61 3 9251 2311

Authorised for disclosure by the Board of Prestal Holdings Limited

i hold PTL ( my average SP is 30.3 cents )

i guess i will have to see how much of this company is left after all this