Shares of Mpact Ltd., a South African maker of cardboard and plastic packaging, climbed to a record after the company said first-half profit would rise as much as 51 percent.
The stock jumped as much as 10 percent and traded 3.9 percent stronger at 47.04 rand by 12:31 p.m. in Johannesburg, the highest on a closing basis since the company was unbundled from Mondi Ltd. in 2011, according to data compiled by Bloomberg.
The cardboard maker linked its forecast for earnings per share in the six months ended June 30 to improved trading conditions and a lower effective tax rate. The company reports first-half earnings on Aug. 12.
The company’s performance “has exceeded my expectations,” Wayne McCurrie, who helps manage $8 billion at Momentum Holdings Ltd. in Pretoria, said by phone. Mpact “can meet the customers’ requirements quickly and efficiently, more so than any other supplier in the market.”