Briscoe to seek secondary listing on ASX

Article – BusinessDesk

May 19 (BusinessDesk) – Briscoe Group, the country’s biggest listed retailer, will pursue a secondary listing on the Australian Securities Exchange next week in a bid to broaden its investor base.Briscoe to seek secondary listing on ASX to broaden investor base

By Paul McBeth

May 19 (BusinessDesk) – Briscoe Group, the country’s biggest listed retailer, will pursue a secondary listing on the Australian Securities Exchange next week in a bid to broaden its investor base.

The Auckland-based company, which is about three-quarters owned by managing director Rod Duke, will apply to list on the ASX as a foreign exempt entity next week, but doesn’t plan to raise new capital, it said in a statement.

“We believe that the greater visibility from a dual-listing will contribute to increased investor interest and a broader shareholder base which will increase our ability to take advantage of fresh opportunities that we identify,” chair Rosanne Meo said.

The shares last traded at $4, valuing Briscoe at $880 million.

Briscoe boosted annual profit 26 percent to $59.4 million in the year ended Jan. 29, widening margins in a retail environment where rival companies have typically struggled to adapt to changing consumer behaviour. That marked the retailer’s seventh year generating a record profit.

Duke sought to grow the company through a takeover of Kathmandu Holdings in 2015, but was rejected by the outdoor equipment chain’s board who viewed the price as too low. Briscoe still owns a near-20 percent stake in Kathmandu and the two are set to square off in court over costs associated with the failed takeover.

(BusinessDesk)

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