Zeder HEPS up 31.2%

Zeder Investments, an agricultural-focused investment group, has seen a significant increase in its share price over the past two years, with a 31.2% boost in profits. The company recently declared a special dividend for the second year in a row, highlighting its commitment to value creation for shareholders. Speaking to CNBC Africa, CEO Johan le Roux shared insights on the company's performance and future outlook. Le Roux emphasized the focus on agriculture and food and beverage sectors, stating that while there are limited growth opportunities currently, the company remains optimistic about its investment portfolio. Despite the challenges posed by supply chain disruptions and inflationary pressures on food prices, Zeder's investments in logistics and farming operations have shown resilience. Le Roux discussed the impact of recent events, such as the Ukraine-Russia crisis and flooding in the Cape region, on the company's operations. The flooding in the Cape region is expected to impact the citrus industry, affecting companies like Capespan, which Zeder has investments in. However, Le Roux remains hopeful that the disruptions will be short-term and that operations will resume swiftly. Zeder has strategically disposed of its logistics group and unbundled Kaap Agri from its business, focusing on maximizing shareholder wealth and dividends. Despite receiving interest from potential buyers for its remaining portfolio assets, Le Roux clarified that no imminent transactions are on the horizon. The global interest in Zeder's investments reflects a growing appetite for food-related investments amid inflationary pressures and supply chain challenges. While uncertainty lingers in South Africa's business environment, Zeder's agricultural focus positions the company well for continued growth and investor interest. With operations in Eastern Europe, Zeder remains cautious about inflationary risks but believes its diversified portfolio will help navigate potential challenges in the region and at home.