Rod Duke snaps up $900,000 worth of Briscoe shares
Wednesday, 21 October 2020
Briscoe Group managing director Rod Duke has tipped an extra $917,000 into the retail company’s shares, saying they are “extremely good value” in a low-interest rate environment.
Duke’s family trust, which owns 77 per cent of Briscoe, paid an average $3.99 for 229,650 more shares, according to a filing to the NZX on Wednesday.
“It just seems to me that around about now they looked extremely good value, particularly with interest rates as poorly as they are and the banks paying shocking money for deposits,” Duke said.
“I thought it was a good opportunity for the trust to invest some money.”
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Many investors looking for higher returns have turned to shares, as central banks around the world are cutting interest rates to stimulate economies weakened by Covid-19.
Briscoe Group, which owns the Briscoes Homeware, Rebel Sport, and Living & Giving chains, posted a 1.3 per cent decline in after-tax profit to $28m for the six months to July 30.
That was boosted by an $11.5 million government wage subsidy, which it decided last week to return after trading improved.
The company said last week that while its first quarter was incredibly tough, trading picked up in the second quarter and the sales momentum had continued into its third quarter.
Briscoe shares were trading at $4.01 on Wednesday, and have gained 11 per cent over the past year.