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Premier Foods in talks with investors to cut debt

15-Dec-2008

Related topics: Markets

Premier Foods has announced that it has held talks with private investors in an effort to shore up its debt and reassure shareholders.

The company has seen its share price plummet by 76 per cent over the past six months, to close at 26p on Friday, on the back of fears that low trading profits would leave it unable to make its debt repayments.

It owes £1.8bn (approximately €2bn at today’s rates) and is reportedly looking for a cash injection of £200m-£300m (€224m-€336m).