MONDI PLC PRE

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MONDI PLC PRE. JSE: MNDI

Mondi PLC PRE shares

Background of Mondi

  • Mondi is a large international packaging and paper group, with Mondi PLC shares available to buy through a dual-listed structure on the Johannesburg Stock Exchange (JSE) and the London Stock Exchange. Today, the group boasts a staff complement of around 25 000 employees, with operations stretching across 30 countries.

  • The company’s history stems to 1967, when Anglo American built the Merebank Mill in Durban. Since then the company has grown through the purchase of numerous other businesses and expansions into Europe and Russia. In South Africa, the company currently manages more than 300 000 hectares of forestry plantations, directly employs over 1 900 people and has a contractor base of more than 15 000 people. Since 2004, the company has made significant capital investments to ensure its mills maintain international standards of product quality, competitive costing and environmental management

  • Mondi’s product portfolio includes office paper, recycled and virgin containerboard, kraft paper, corrugated packaging, consumer goods packaging, industrial bags and extrusion coating for sale to numerous industries. These include the automotive, building and construction, chemicals, agriculture, food and beverages, medical, pharmaceutical, pet care and home and personal care industries.

  • The group recorded a 25% increase in operating profits in 2015, at €987 million.

Mondi Shares Growth Driver

  • Mondi registered excellent financial performance in 2015. Apart from the 25% climb in profits, the business increased underlying earnings per share by 25%, cash generated from operations by 24% and return on capital employed by 20.5%, although Mondi share price has slowed on the JSE.

  • Completed major projects played a huge role in driving this positive data, contributing €50 million. Mondi also has the advantage of a strong capital investment pipeline including €450 million worth of approved and in progress projects. The company is continuing with its portfolio optimisation and refinement, whilst a number of acquisitions have been made recently which will further enhance the company. Six operations were closed in 2015 and four were sold to optimise cost structure and refine product mix.

Mondi Group Investor Tip

  • In line with the recent slowing of the South African economy and the weakness of the rand, the live online stocks chart shows that Mondi share price hit a slump in early 2016, but the losses have been relatively minimal. Whilst there is currently some weakening of markets for certain packaging paper grades, this is being offset by firmer prices in the European markets following recent industry capacity rationalisation. Lower energy and related production costs, as well as an incremental increase in the contribution of major completed capital projects, should benefit the group’s performance in the short term and encourage investors to buy Mondi shares.

  • Mondi is currently focusing on developing ‘Green’ product ranges which is forecast to create more diversification, market exposure and a firmer Mondi share price. The group’s robust business model, high-quality low-cost asset base, clear strategic focus and philosophy of continuous improvement makes Mondi shares a relatively safe buy.

Mondi Major Shareholders

Public Investment Corporation, Coronation Asset Management, Investec Asset Management, AXA SA, Standard Life Investments, Old Mutual, Norges Bank.

  • Sector

    Materials

  • Industry

    Containers & Packaging

  • Sub industry

    Containers & Packaging

How to buy Mondi Group Shares

  • Mondi : How to buy Mondi Group Shares Online

    We have made it simple to buy JSE listed firm shares online. The easiest way to buy Mondi Group shares or stocks is to; start by submitting the ‘BUY THIS SHARE’ form. Next, one of our experienced and certified stock brokers will personally get in contact with you to discuss your custom stock request. Finally, a stock advisor will confirm the amount of shares you are looking to invest in Mondi Properties and assist you with the setup and management of your stock portfolio account.

  • Here are the steps you must follow to Buy / Purchase Mondi Group shares with utmost confidence:

    1. Start by Filling in the BUY THIS SHARE form.
    2. Insert your name, email, telephone number and monthly remuneration.
    3. Then, Indicate the amount you are looking to invest in Mondi.
    4. Click the “ INVEST NOW” button
    5. Once we have received your info, a dedicated stock advisor will personally call you back to discuss your personal share request.
    6. Lastly, your newly appointed personal stock advisor will handle all account setups and reporting as stipulated by the financial services board of South Africa (FSB)
  • Buy Shares with Confidence

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