Nampak is currently engaged in talks with parties about the disposal of its Nampak Zimbabwe business.
Nampak has continued to improve operational profitability, cash generation, and debt reduction despite low economic growth and muted demand.
South Africa’s biggest packaging group is fresh out of a financial turnaround that started in early 2023, and by late last year the group had converted multibillion losses into operational profits, halved its debt, and disposed of non-core assets.
The turnaround is aptly indicated by the share price, which gained 1,25% to R484,00 on the JSE on Friday, while three years ago, it was trading at only 68 cents.
In the six months to March 31, its Beverage South Africa segment performance continued to improve, and there was a “stellar contribution” from Beverage Angola. However, the Diversified segment contracted sharply due to fish and deciduous fruit supply issues, structural business losses, and disruptions from customer pack changes and related inventory management that are not expected to be repeated.
