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

 


Norman family's James Pascoe buys beat-up Warehouse stock

Norman family's James Pascoe buys beat-up Warehouse stock, lifts stake to 5.15%

By Jonathan Underhill

June 24 (BusinessDesk) - James Pascoe, the retail group owned by David and Anne Norman, has taken advantage of a slump in Warehouse Group shares to nudge its holding up to 5.15 percent.

James Pascoe acquired 544,964 shares on market yesterday for about $1.65 million, implying it paid $3.03 a share. Warehouse slipped 0.7 percent to $3.01 on the NZX today and have shed almost a fifth of their value this year. The purchase amounts to only about 0.2 percent of Warehouse's stock, meaning James Pascoe was already close to the 5 percent threshold where a holding must be disclosed to the NZX.

The Norman's retail empire includes department store chain Farmers Trading Co, the Whitcoulls bookstores, Pascoes the Jewellers, Stewart Dawson and Goldman jewellery retailers, and Prouds the Jewellers, Angus & Coote and Goldmark jewellery chains in Australia.

The couple ranked 18th equal on the NBR Rich List last year, with a fortune estimated $500 million, the same value put on the wealth of Briscoe Group managing director and controlling shareholder Rod Duke.

According to their substantial security holder notice, James Pascoe is owned by David and Anne Norman and four family trusts.

The stock was downgraded to 'hold' from 'buy' by brokerage Craigs Investment Partners after the retailer last week cut its full-year earnings forecast because of discounting of seasonal wares.

Craigs analyst Chris Byrne cut his forecast for the retailer's 2014 profit by 12 percent, the 2015 forecast by 6 percent and the 2016 estimate by 5 percent after Warehouse on Friday said its profit would decline from the year earlier and be lower than previously forecast as it cut profit margins at its 'red sheds' stores to move stock. Apparel makes up about a quarter of 'red shed' sales and normally generates higher margins, Byrne said.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Gareth Morgan: The Government’s Fresh Water Policy – Revisited

Fresh water quality is the latest area to be in the sights of Gareth Morgan and his research organisation The Morgan Foundation... They found that the fresh water policy was a bit murkier than the Environment Minister let on. More>>

ALSO:

Interest Rates: RBNZ Hikes OCR To 3.5%, ‘Period Of Assessment’ Now Needed

Reserve Bank governor Graeme Wheeler raised the official cash rate as expected, while signalling a pause in rate hikes to assess the impact of moves so far this year. The kiwi dollar sank after Wheeler said its strength was “unjustified” and that the currency could have “a significant fall.” More>>

ALSO:

Fonterra: Canpac Site 'Resize' To Focus More On Paediatrics

Fonterra is looking at realigning its packing operations at Canpac, in the Waikato, to focus more on paediatric nutritionals... The proposed changes could mean around 110 roles may not be required at the site which currently employs 330. More>>

ALSO:

Scoop Business: Postie Plus Brand Gets 2nd Chance With Well-Funded Pepkor

The Postie Plus brand is getting a new lease of life after South Africa’s Pepkor bought the failed retailer’s assets out of administration and said it will use its purchasing power to reduce costs of stock and fatten margins. More>>

ALSO:

Warming: Warming Signs From State Of Climate Report

Climate data from air, land, sea and ice in 2013 'reflect trends of a warming planet' -- says the latest State of the Climate report, launched by U.S. and New Zealand scientists. More>>

ALSO:

Scoop Business: Embrace Falling Home Affordability, Says NZIER

Despair over the inability to afford a house is misplaced and should be embraced as an opportunity to invest in more wealth-creating activity, says the principal economist at the New Zealand Institute of Economic Research, Shamubeel Eaqub. More>>

Productivity Commission: NZ Regulation Not Keeping Pace

New Zealand regulators often have to work with out-of-date legislation, quality checks are under strain, and regulatory workers need better training and development. More>>

ALSO:

Get More From Scoop

 
 
Computer Power Plus

Standards New Zealand

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