North Coast to make public offer

North Coast, an importer and distributor in Poland of such Italian products as Illy coffee, Rio Mare tuna or Agnesi pasta, will float 46 percent of its shares on the Warsaw Stock Exchange (WSE) next month in order to obtain some zł.23 million for the development of the company.

"Within the last couple of years we have been improving our cost management and increased the net profit margin from two percent in 2002 to 11 percent last year, thanks to the lifting of duties after Poland's accession to the EU and a favorable złoty exchange rate. We are growing faster than the market and believe the trend will continue," said Giorgio Pezzolato, deputy CEO of the company.

At the moment North Coast sells its products to supermarkets, retailers, restaurants and hotel chains. By 2008 the company is planning investments of some zł.60 million in the development of their distribution and logistics system.

"The objective of the IPO is for us to build a network of modern warehouses - they are essential for our operations as we sell high quality food products with a very short expiration period. We would also like to launch three new offices in the biggest Polish cities as well as open what we call corner shops in supermarkets and at least five shops under our own brand," said Silvano Fiocco, North Coast CEO.

In 2005 North Coast posted sales revenues of zł.73.4 million, eight percent more than the year before, and a net profit of zł.8.2 million. The management of the company expects that by implementing their strategy by 2009 North Coast will generate revenues of zł.160 million.