Stronger rand weighs on Brait re­sults

The Star Early Edition - - COMPANIES - Sandile Mchunu

IN­VEST­MENT hold­ing com­pany Brait shares de­clined 7.5 per­cent in early trade on the JSE on Tues­day af­ter the stronger rand against the pound weighed on its re­sults for the end the June quar­ter.

The share later re­cov­ered to close at R60.75.

The com­pany, with most of its in­vest­ments in the UK, said its net as­set value (NAV) per share de­clined 5.1 per­cent to R74.14, down from R78.15 re­ported at the end of March.

NAV per share at the end of June fell 6.05 per­cent to £4.35 (R75.03) a share com­pared with £4.63 a share at the end of March. The group said the clos­ing pound-to-rand ex­change rate at the end of June was R17.06, an in­crease of 1.1 per­cent from the end of March.

Dur­ing 2016, the group blamed its de­cline in for­tunes to Brexit and the strength­en­ing of the rand against the pound. Bri­tain voted in June 2016 to leave the EU.

Brait’s in­vest­ments in­clude Vir­gin Ac­tive, New Look, South Africa’s Pre­mier and Ice­land Foods. The group did not pro­vide in­for­ma­tion on the per­for­mance of th­ese in­vest­ments like it had done in the pre­vi­ous years.

The big­gest fall of NAV last year was recorded in the quar­ter to end De­cem­ber, where it de­clined 21.5 per­cent com­pared with R82.45 in the last quar­ter. The NAV for the quar­ter to end Septem­ber was much higher at R105.06 a share.

Newspapers in English

Newspapers from South Africa

© PressReader. All rights reserved.