Ann: Half Yearly Report and Accounts, page-7

Clare1,

Agree with you, however have a better look at the board. Dan Brown was Ruffy's right hand man when he built PACT and went public. The Chairman is also Ruffy's mate.

The flexibles business is a good business however the acquisition was poorly managed and then the rationalisation and integration cost them dearly.

There is a lot of work to be done to get it back to where it was. I suspect the lack of investment in the Rigid business will mean at some stage it will be sold off. As for the industrial arm, they are still halfway through a turnaround. Once that is complete it too will be sold off to focus purely on flexibles. At which stage they should be almost (if not) debt free providing them the firepower to make other acquisitions in the flexibles space.

Ruffy may be buying in because the SP has dropped to dangerous levels. If the business breaches banking covenants the banks may step in and firesale it, which is not the best outcome for anyone.

There is definitely significant upside on this one, however it will need the flexibles business to start making the money it had done previously.