The shares traded 2.7% lower at 157.30 rand as of 10:08 a.m. in Johannesburg, extending a decline for the year to 25%.
Tiger Brands was already battling weaker consumer spending in its main market of South Africa before government measures to control the Covid-19 pandemic closed down large swathes of the economy. The company has no plans to cut capital expenditure this year and is looking to spend 1.5 billion rand ($85 million) on growth projects, the CEO said.
Tiger Brands has closed its biscuit factory in Nigeria and looking to sell a meat-products business while exploring options for the company’s canned-fruit division, the CEO said. The dividend may be reconsidered at the end of the company’s fiscal year, depending on outlook, Doyle said.