Greencore PLC (LON:GNC) has announced a conditional agreement to sell the interests in its molasses trading businesses to United Molasses Marketing for £15.6mln.
The food producer said the proceeds will be used to shore up its balance sheet.
READ: Greencore sees sales tumble though cooking sauces hit the spot
In a separate announcement, the FTSE 250-listed firm reported a 34% drop in revenue to £240mln in the quarter to June 26, 2020, though it said it sees “encouraging” improvement of demand in food-to-go categories for the rest of the year.
The group restarted production in three of its UK plants and extended production at its Northampton site to accommodate demand.
“Clearly sales will improve as lockdown ends, but the long-term outlook remains uncertain given more people working from home and higher unemployment levels,” analysts at Peel Hunt commented in a note to clients.
Shares added 5% to 117.4p early on Tuesday.