PureCircle figures not so sweet as shares plummet
Shares in sweetener maker PureCircle plunged 17.3 per cent to 230p yesterday after it warned full-year profitability will be below levels seen in 2009.
The group, which supplies sweeteners to soft drinks giants including Coca-Cola and Pepsi, said profit has been held back by the fact the group is running under capacity. Full-year 2010 profits have also been hit by rising costs. PureCircle said it expected sales for the year to 30 June to be little changed from the previous year.
In a separate statement the group said it has signed a preliminary deal for a joint venture with British Sugar, part of Associated British Foods. The joint venture will be called Natural Sweetness with sales and marketing in the venture owned equally by both parties.