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Patel’s plan to address the inequity of executive pay
It would be useful if the minister coincided his legislative challenge with news of widespread pay cuts for ministers and directors-general. 00:01
As a former trade unionist, Patel should rather use whatever influence he has to encourage his labour colleagues to impose some market discipline. Image: GCIS
Judging by the flurry of comments sparked by news that Minister of Trade, Industry and Competition Ebrahim Patel is finalising legislative changes aimed at narrowing the executive-worker pay gap, not many people believe government has a role to play in addressing this thorny issue.
Brian Joffe on Long4Life results, prospects and strategy
South African business icon Brian Joffe was the flagship guest for last night’s BizNews Power Hour, with the Bidvest founder upbeat about the prospects of his latest venture – Long4Life. The investment holding company has some great assets with household names such as Sportsmans Warehouse, Fitch & Leedes and Sorbet. Given the perennial investment holding problem – a large discount to net asset value – Long4Life has outsourced Investec Corporate Finance to extract value via corporate action. This could see Long4Life unbundle one of its crown jewels or even delist from the local bourse. No matter what scenario plays out, shareholders can sleep easy knowing Mr Joffe will be making the final call. – Justin Rowe-Roberts
Sportsmans Warehouse
Long4Life, Brian Joffe s holding company, reported that its earnings per share decreased by 26% to 31.9 cents for the year to end February.
On Thursday, the owner of Chill Beverages, Sportsmans Warehouse and Sorbet said the pandemic and resultant national lockdown restrictions had a significant impact on the operating and financial performance of the group over the past year.
This is due to trade in the three group divisions - Sport and Recreation, Beverages, and Personal Care and Wellness - being severely restricted for most of the first half of the financial year.
The group s revenue of R3.582 billion decreased by 12% against the previous year.
Long4Life, the lifestyle investment company that was listed on the JSE by CEO Brian Joffe in April 2017, is pulling out all the stops in order to realise more value from its investments – including a potential delisting.
The news came as it released annual results for the year to 28 February that showed a strong recovery in its second-half performance.
The company has been buying back shares, spending almost R486-million on repurchases last year at an average price of R3.42 per share. It said it used cash surplus to its requirements to invest in the buybacks due to the intrinsic value within the group. Since 2019, it has spent R1-billion on repurchases. Acquisitive growth is limited due to the high prices vendors expect to achieve for suitable businesses.