Pioneer eyes separate listing for Quantum

Johannesburg - Pioneer Food Group [JSE:PFG] said on Friday it planned to spin-off its Quantum Foods unit with the aim of listing it as a separate entity on the Johannesburg Stock Exchange on October 6.

READ: Pioneer Foods to spin off Quantum unit

The company said a detailed listing statement would be released in due course.

Quantum Foods produces eggs, chicken products and animal feed.

Pioneer's share price gave up earlier gains and traded 1.3% lower on R120.50 by 14:00.

The shares took a beating on Thursday after the food manufacturer advised that full-year earnings are expected to increase by more than 20% compared with last year.

The group warned that while the period under review signalled a lowering of soft commodity prices, this has not yet given rise to increased demand and volume growth.

"The trading environment continues to be reflective of the pedestrian food and beverage category growth rates currently experienced, indicative of significant pressure on the SA consumer," Pioneer said in a SENS announcement.

Among the Pioneer brands are Sasko, Redro, Weetbix, Imbo, Crossbow, Moir's and Heinz.   

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