Long4Life carves up a larger stake in Spur

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Long4Life carves up a larger stake in Spur

Published Date: 2019-10-09 | Source: Stephen Gunnion | Author: Stephen Gunnion

Long4Life carves up a larger stake in Spur

The investment group has added a big shareholding in the restaurant group to its investments in other lifestyle businesses.

Long4Life has become a significant shareholder in Spur Corporation after buying another large stake in the restaurant group.

The investment company, founded by former Bidvest CEO Brian Joffe, bought 9.22-million more shares in Spur last Friday, taking its holding to 12.5% of the group's total issued share capital, up from 4% previously. Its ownership of shares that hold voting rights has grown to 14.3%, from 4.6%. At last Friday's closing price, the additional stake was worth about R217 million.

Long4Life listed in April 2017, with a focus on lifestyle businesses with attractive growth prospects led by strong, entrepreneurial-minded management teams. It aims for investments where it believes it can add scale and value for shareholders. It has three main divisions: Sport and Recreation, including Sportsmans Warehouse, Outdoor Warehouse and Performance Brands; Beverages, including Chill Beverages and Inhle Beverages; and Personal Care and Wellness, which incorporates the Sorbet group of beauty chains and medical group ClaytonCare.

Apart from Spur Steak Ranches, Spur owns a number of other restaurant brands, including Panarottis, Casa Bella, RocoMamas, John Dory's, Hussar Grill and Nikos Coalgrill Greek.

Long4Life hasn't notified shareholders of its plans for the Spur investment. Its interim results are scheduled for release on 24 October. It expects to report top-line growth, but headline earnings per share are likely to be below last year's level due to a weaker performance from Chill Beverages as an investment in increased production capacity has yet to be matched by higher sales.

Long4Life closed 0.3% down at R3.98 yesterday while Spur's shares jumped 5.5% to R24.97.





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