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

 

Superu Report: Land Regulation Drives Auckland House Prices

Land use regulation is responsible for up to 56 per cent of the cost of an average house in Auckland according to a new research report quantifying the impact of land use regulations, Finance Minister Steven Joyce says. More>>

ALSO:

Fletcher Whittled: Fletcher Dumps Adamson In Face Of Dissatisfaction

Fletcher Building has taken the unusual step of dumping its chief executive, Mark Adamson, as the company slashed its full-year earnings guidance and flagged an impairment against Australian assets. More>>

ALSO:

No More Dog Docking: New Animal Welfare Regulations Progressed

“These 46 regulations include stock transport, farm husbandry, companion and working animals, pigs, layer hens and the way animals are accounted for in research, testing and teaching.” More>>

ALSO:

Employment: Most Kiwifruit Contractors Breaking Law

A Labour Inspectorate operation targeting the kiwifruit industry in Bay of Plenty has found the majority of labour hire contractors are breaching their obligations as employers. More>>

ALSO:

'Work Experience': Welfare Group Opposes The Warehouse Workfare

“This programme is about exploiting unemployed youth, not teaching them skills. The government are subsidising the Warehouse in the name of reducing benefit dependency,” says Vanessa Cole, spokesperson for Auckland Action Against Poverty. More>>

ALSO:

Internet Taxes: Labour To Target $600M In Unpaid Taxes From Multinationals

The Labour Party would target multinationals operating in New Zealand to ensure they don't avoid paying tax if it wins power and is targeting $600 million over three years through a "diverted profits tax," says leader Andrew Little. More>>

ALSO: