THE revolving door spun twice this week at agri-business group GoldenVale. Going in different directions were managing director, Jim O'Mahony, unexpectedly exiting after being removed from his job by the board, and entrepreneur Dermot Desmond, who made an equally unexpected entrance the two events entirely unconnected.

Known for his ability to identify potentially profitable recovery situations Mr Desmond, through his company International Investments and Underwriting, purchased 5.82 per cent of the group for around £6 million, adding agri business to his burgeoning investment portfolio. Golden Vale shareholders were selling when the group revealed that it got the sums wrong in calculating its milk superlevy bill, an oversight resulting in a £3.1 million payment to the Department of Agriculture and precipitating the abrupt departure of Mr O'Mahony.

The superlevy issue was the latest in a number of adverse circumstances to dent market confidence in the group, prompting institutions to sell shares. Concerns have been expressed about profit margins and the performance of the group's operations in Holland and Northern Ireland. Analysts are predicting a sharp contraction in annual profits.

Mr Desmond's company already has share holdings in engineering group Unidare (5.9 per cent), in shipping and transport company Jones Group (3.3 per cent) and in radiator and plastics group Barlo (3.5 per cent).