First HZPC share price drop since 2009

The certificate price of HZPC shows a decrease for the first time since 2009. The exchange rate is set at €180. This means that the certificate of HZPC has decreased by the maximum value of 10%.

The value of the certificate reached its highest point in May 2018, with a value of €200 per certificate. Due to the fall in the value of the certificate, the total market value of the potato breeder fell by €16 million to €141 million.

profit taking
More than 5.000 certificates were traded on the trading day in November, which is 1% less than the total number of more than 783.000 certificates. The fact that little was traded was because there was little demand with a large supply.

"After a long period of price increases, the market is now in balance. A price of €200 may be an important psychological limit on which certificate holders want to take their profits, this after a huge rally. There was another increase in May, but not the maximum. That was a sign of some equilibrium in the market," says Gerard Backx, CEO of HZPC.

Structurally lower profit
That the profit of HZPC was lower in the past financial year, is not an indication of a structurally lower profit, according to the CEO. "HZPC continues to invest heavily in the future and wants to continue to grow in the global potato market."

The dividend for 2018/2019 will be determined at the October 2019 shareholders' meeting. Since the inception of HZPC in 1999, dividend has been paid out every year. The first certificates were traded in the 1999/2000 financial year, at a price of €24.

Anne-Jan Doorn

Anne Jan Doorn is an arable expert at Boerenbusiness. He writes about the various arable farming markets and also focuses on the land and energy market.

aj.doorn@boerenbusiness. Nl

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