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City File: Bunzl bounce

Saturday 20 March 1993 19:02 EST
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When Anthony Habgood, a second cousin of the Archbishop of York, took over at Bunzl, cynics wondered whether he was the right person to turn around the ailing packaging group. They pointed to his record at Tootal - as chief executive he presided over the capitulation to an aggressive bid from Coats Viyella, following a collapse in earnings.

But in 18 months at Bunzl, he has disposed of more than 20 businesses, and the surgery appears to have worked.

The results tomorrow are expected to show pre-tax profits from last year up from pounds 31.7m to nearly pounds 45m, with anything up to pounds 57m expected for this year.

The shares have recovered from a low of 80p last year, but at 130p they do not fully reflect the extent of Bunzl's recovery.

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