Top story
Investment firm Grosvenor has outlined ambitions to ramp up its activity in food and agritech and double the capital allocated to innovation the industry over the next decade as concerns grow over security in the supply chain.
It comes as the firm – which primarily invests in property – revealed significantly improved returns in its financial results for 2021, with revenue profits from urban property activities more than doubling from £39.7m to £99.7m.
Grosvenor Food & AgTech, created in 2012 to diversify the estate beyond property, invested £81m in the industry in 2021, down from £102m the previous year, to bring the total value of assets under management to £629m, including a portfolio of 27 food assets.
CEO Mark Preston told The Grocer the firm’s increased focus on food and agritech couldn’t come at a more important time.
“Food costs are rising and there are growing worries about food security in the supply chain,” he said.
“The [food and agritech] sector offers opportunities for commercial returns as well as for improving how food is grown, produced, distributed and consumed for the benefit of human health and the environment.
“The pandemic has accelerated the need to reassess our assumptions around consumer needs and trends, business models and growth projections, which we were already reconsidering in light of growing socioeconomic, demographic, technological and environmental change.”
Read the full story here.
Morning update
Elsewhere on thegrocer.co.uk this morning, Asda’s new owners issued a warning over the “stark challenges” ahead facing shoppers. It comes as the supermarket chain reported a like-for-like sales decline of more than 9% during the first quarter of the financial year. Read the full story here.
There is no news of note this morning as the City slows down ahead of a short week leading into the Platinum Jubilee celebrations.
The FTSE 100 opened down slightly this morning, falling 0.2% to 7,548.79pts.
Early risers in fmcg included Naked Wines, up 4.2% to 359.8p, SSP Group, up another 1.5% to 274.8p, and Pets at Home Group, up 1.1% to 325p.
Deliveroo, Just Eat Takeaway and THG all gave up some of yesterday’s gains this morning, down 4.3% to 83.4p, 4% to 1,650.8p and 3.8% to 153p respectively.
Yesterday in the City
The FTSE 100 climbed 0.6% higher to 7,564.92pts yesterday as Chancellor Rishi Sunak’s surprise windfall tax U-turn failed to harm energy firm stocks.
In the grocery and fmcg world, Marks & Spencer and Ocado Group had bumper days.
Following a less than 1% rise in M&S’ value on Wednesday following its annula results, investors poured into the stock yesterday, boosting it 8% to 149.8p.
Ocado soared 11.9% to 861.2p after falling to a four-year low on Wednesday after its food jv with M&S downgraded profit expectations.
Other big risers yesterday included Hellofresh, up 9.7% to €34.74, Delivery Hero, up 8.5%to 432.96, and Just Eat Takeaway, up 8.2% to 1,720.2p.
There were a number of other impressive moves for Deliveroo (up 6%), B&M European Value Retail (up 7.6%), THG (up 6.2%) and WH Smith (up 4.9%), with nearly all food and drink stocks making gains.
Imperial Brands, Hotel Chocolat Group, Hilton Food Group and Nichols were among the few fallers, down 2.9% to 1,787.5p, 2.2% to 330p, 1.6% to 1,138p and 3.2% to 1,292.9p respectively
No comments yet