Astoria still reinventing itself

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Astoria still reinventing itself

Published Date: 2020-10-27 | Source: Stephen Gunnion | Author: Stephen Gunnion

Astoria still reinventing itself

After buying CNA in April, the group is busy acquiring a portfolio of assets from RAC Investments.

Astoria Investments is in the throes of a restructuring which skews comparisons in its latest financial results. The process will culminate in a recapitalisation as it positions itself as a diversified holding company.

After selling the bulk of its listed investments and returning capital to shareholders earlier this year, the company is in the process of buying a portfolio of assets from RAC Investments, as well as RAC's interest in JB Private Equity Investors Partnership, in exchange for new shares. This is aimed at recapitalising itself with assets that meet its investment policy.

The new assets will sit alongside its 70% stake in CNA, the iconic book and stationery chain it bought from Edcon in April. Reporting back for the third quarter of its financial year, it said CNA had experienced slow trading months in August and September and the business continued to received support from landlords and staff. The 2021 back-to-school season would provide a good indication of the prospects of the business.

Income for the three months to end-September improved to $7,000 from a $1.53 million loss last year. It reported a headline loss per share of 0.1 US cents from a 1.31c loss for the same period a year ago. Its net asset value declined to 6c per share from 17c following a capital payment and a special dividend amounting to 14c per share, which were declared in March. This was offset by a share consolidation last month.

Astoria's shares didn't trade yesterday, closing unchanged at R12.59.





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