Spur’s executive chairperson and founder Allen Ambor quits, effective from March

SPUR Corporation, which is still finding its feet after a messy 2017, said on Friday that its mainstay executive chairperson and founder Allen Ambor would step down from the role. The news came a day after the firm threw in the towel on the ill-fated investment in Captain DoRegos.

Pierre van Tonder, the chief executive of Spur said Ambor would step down with effect from March next year and said he had made a big contribution to the company’s growth.

“He has overseen the growth of the business from a single outlet to a multi-brand franchisor with more than 600 restaurants in South Africa and internationally. The nominations committee of the board will shortly commence the pro- cess to identify a new board chairperson” Van Tonder said.

Ambor’s exit followed that of financial director Ronel van Dijk, who tendered her resignation from the board and the company on November 24, 2017, with effect from March 31, 2018.

Phillip Matthee will take over the financial director reins with effect from 1April 1, 2018.

The company could not be drawn on whether Ambor was shown the door after the disastrous investment in Captain DoRegos in 2011 for R34 million.

The group last week said that it would dispose of the struggling Captain DoRegos for R5m with effect from next month. Ambor founded the company in 1967 and has served as the group’s chairperson since its JSE listing in 1986.

In May last year, Ambor sold his 3 099 176 ordinary shares in the company at R32.50 for a total of R100.723m.

The shares were quickly snapped up by Grand Parade Investments – through a wholly owned subsidiary. Spur houses brands such as Panarottis Pizza Pasta, John Dory’s Fish Grill Sushi, The Hussar Grill Steakhouse and Roco Mama’s.

The franchisor last week reported underwhelming results for the six months ended December. Group revenue declined 0.9 percent to R344.6m while headline earnings from continuing operations declined by 11.8 percent to R96.6m and by 19.7 percent on a comparable basis.

Diluted headline earnings a share from continuing operations declined by 11.7 percent to 100.9 cents a share and as a result the group declared an interim dividend of 63c a share, which was 11.3 percent lower compared with last year.

Wayne McCurrie a fund manager at Ashburton Investments, said Spur had experienced a difficult time, but that it still had good assets.

“Spur Ranches suffered badly in the first half of the year but stabilised in the second half. Rocco Mama’s and Hussars did really well,” McCurrie said.