MPAC, the specialist provider of high speed packaging machines and complementary services, announced that Group Finance Director, Jim Haughey, had resigned as a board member for “personal reasons”.
Having spoken to the company, we understand there is nothing untoward for shareholders to worry about, since this is absolutely Jim’s decision. Indeed he has willingly agreed to work his 6 month notice period until a suitable replacement is found.
Additionally, there is considerable bench strength in the in-house finance team, so we don’t believe the news will in anyway impact the business’s day-to-day operations. CEO Tony Steels, adding: "Whilst it is disappointing to lose a member of the senior management team, we respect Jim's decision and wish him well for the future. We will commence a search process immediately and update shareholders in due course".
By way of reminder, MPAC revenues are forecast to rise this year by 10% to £58.7m, with adjusted EBIT and EPS coming in at £2.8m (vs £1.3m LY) and 9.9p (4.2p) respectively. This news does not affect our estimates or fair value of 225p/share.
