Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


Warehouse buys SchoolTex from Postie Plus for $9 mln

Warehouse buys SchoolTex from Postie Plus for $9 mln, adding to uniform range

Jan. 15 (BusinessDesk) - Warehouse Group, New Zealand’s largest listed retailer, has agreed to buy SchoolTex from Postie Plus Group for $9 million, adding the nation’s biggest supplier of school uniforms to its department stores.

“We see the Schooltex uniform brand complementing The Warehouse’s existing school apparel and back to school product range,” chief executive Mark Powell said in a statement.

Postie Plus shares have shed 57 percent in the past 12 months and the clothing retailer posted a $13.2 million loss in its latest year after writing down the value of stock by $4 million. Sales and margins were also hurt after it outsourced its distribution centre, which got overwhelmed by the transfer of inventory arriving at the same time as new seasonal stock.

The deal will allow Postie Plus to reduce debt to $12.2 million from $21.1 million, giving the retailer more flexibility to invest in its clothing, health and beauty product ranges and complimentary products. It will also free up floor space for new products, it said.

The reduction in debt “is certainly more manageable and puts the business on a more sustainable business going forward,” Postie Plus CEO Richard Binns told BusinessDesk. He declined to give details of his company’s plans to use the freed up space in its stores.

Warehouse will pick up six Schooltex support office and regional staff at the end of February. Schooltex supplies uniforms and sportswear to more than 1,100 schools.

Postie Plus stock last traded at 10 cents. Warehouse last traded at $3.66 and has gained 19 percent in the past year.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Future Brighter Money: RBNZ Releases New Bank Note Designs

New Zealand’s banknotes are getting brighter and better, with the Reserve Bank today unveiling more vibrant and secure banknote designs which will progressively enter circulation later next year. More>>

ALSO:

Commerce: Supermarket Inquiry Finds No Breaches By Countdown

The Commerce Commission inquiry into anti-competitive behaviour by Countdown supermarkets, alleged by former Labour Party MP Shane Jones, has found nothing to warrant prosecution, although it warns supermarkets to take care in the way they communicate... More>>

ALSO:

Crown Accounts: English Flags ‘Challenge’ To Budget Surplus

Finance Minister Bill English is warning next month’s half yearly fiscal and economic update from the Treasury may not forecast a budget surplus, saying that returning the government’s accounts to surplus in 2015 will be “a challenge”, given the decline in commodity prices and weak global inflation. More>>

ALSO:

Price Of Cheese (Is Up): Dairy Product Prices Fall To Five-Year Low

Dairy product prices fell in the latest GlobalDairyTrade auction to the lowest level in more than five years, led by declines in rennet casein and skim milk powder. More>>

ALSO:

Gordon Campbell: On The Australians Scoring Trade Points Against Us With The Chinese

It hasn’t been a great year for Trade Minister Tim Groser... To top it off, Australia has just signed a FTA with China that has far better provisions on dairy exports than what New Zealand currently enjoys in our own FTA with China. More>>

ALSO:

Iwi & Local Consultation: Oil And Gas Block Offer 2015 Begins

Energy and Resources Minister Simon Bridges today announced the start of the Block Offer 2015 process for awarding oil and gas exploration permits. More>>

Industrial Action: Stats NZ Throwing Public Money Away Duplicating Data

The Public Service Association (PSA) says Statistics NZ are throwing money away by collecting the same data twice for official statistics such as the Consumer Price Index... As part of the ongoing industrial action, field interviewers who are PSA members are continuing to collect data, but are not sending it through to Statistics NZ. More>>

ALSO:

Other Stats:

Space: Rosetta's 'Philae' Makes Historic First Landing On A Comet

After more than a decade traveling through space, a robotic lander built by the European Space Agency has made the first-ever soft landing of a spacecraft on a comet. More>>

ALSO:

(Sometimes Jointly): Auckland Gets 'Clean Sweep' Of Scientist Awards

The University of Auckland has been recognised in every category at this year’s New Zealand Association of Scientists (NZAS) Awards... More>>

ALSO:

Lending: RBNZ Keeps LVR Restrictions In Place

The Reserve Bank will retain restrictions on low-equity mortgage lending because governor Graeme Wheeler continues to see risks in the housing market, particularly given strong migration flows. More>>

ALSO:

Get More From Scoop

 
 
Standards New Zealand

Standards New Zealand
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news