San Remo pasta family takes a key stake in Maggie Beer as part of a $5 million capital raise

Maggie Beer has issued 53.13 million shares at 5.6c each to Frisden Pty Ltd, a company associated with Maurice Crotti, who is joint CEO of San Remo.

The issue price represents a 10 per cent discount to the 30-day volume-weighted average price of the company’s shares.

News of the placement, which will give Crotti control of about 13 per cent of Maggie Beer shares, sent the company’s stock 25 per cent higher to 8c by midday (AEDT).

“The board welcomes an investment in the company from a highly credentialed and experienced operator in our sector,” says Mark Lindh, the chairman of Maggie Beer Holdings

“With significant progress made in the last eight months in reducing costs across the company, this placement will both further strengthen our balance sheet and improve the working capital of the company to continue to grow the organisation.”

Maggi Beer posted a statutory loss of $24.3 million for FY25, a result largely impacted by a $10.1 million writedown related to the sale of Paris Creek Farms.

The loss is the second consecutive negative annual result by Maggie Beer which has also been plagued by leadership changes in recent years.

The sale of Paris Creek Farms is expected to deliver annualised cash flow savings of around $2.2 million as the company turns its attention to strengthening its core premium brands.

Maurice Crotti, who was awarded the Officer of the Order of Australia (AO) for his service to the food manufacturing and export industry, is a third-generation leader of the San Remo business which was established by his grandfather Luigi Crotti in 1936.

Maggie Beer has accompanied the $3 million share placement to Crotti with plans for a $2 million non-renounceable rights issue for eligible shareholders.

The rights issue, which is not underwritten, is being offered at the same price as the placement to Frisden.