New Look valued at pounds 300m ahead of stock market flotation in June
Friday 10 April 1998
Mr Singh, who founded the business in Worthing in 1969, owns 29 per cent of the company. This will rise to 33 per cent following the float, valuing his stake at pounds 100m.
This is on top of the pounds 170m he and his family received three years ago when he sold a controlling stake to a group of venture capitalists including Barclays Private Equity and PPM Ventures.
It will be the second time New Look has tried for a stock market flotation. It abandoned its first attempt in 1994 due to volatile stock market conditions. Since then, it has considered a reverse takeover of Etam and also looked at Oasis Stores last year after it issued two profits warnings.
New Look is raising pounds 100m from the float. Half will be used to pay down debt and to redeem preference shares. The rest will be used to fund store expansion.
New Look has 440 stores but it wants to add a further 150, of which 50 will be in towns and cities such as Kingston-upon-Thames and Edinburgh where the company is notrepresented.
Jim Hodkinson, the former head of B&Q, has been confirmed as chief executive. Gavin Aldred, the former joint managing director is stepping down from the main board though he will remain with the company.
New Look recorded profits of pounds 33m on sales of pounds 242m last year.
Boardroom pay will be adjusted on flotation. Last year, Mr Singh earned pounds 707,000 including pounds 187,000 salary and pounds 480,000 of bonuses. Mr Aldred was paid pounds 543,000 including bonuses of pounds 350,000. On flotation, bonuses will be limited to no more than 50 per cent of salary.
Investment column, page 22
- 1 Nigel Farage: Me vs Russell Brand on Question Time – he's got the chest hair but where are his ideas?
- 2 Harry Potter fans can apply to the Hogwarts-inspired College of Wizardry
- 3 Jessica Chambers: 19-year-old woman 'doused with lighter fluid and burned alive' in the US
- 4 Russell Brand calls Nigel Farage 'poundshop Enoch Powell' in BBC Question Time debate
- 5 Orange Wednesdays are no more
Weather bomb in pictures: Storms cuts power for tens of thousands – and snow is on the way
Jessica Chambers: 19-year-old woman 'doused with lighter fluid and burned alive' in the US
Russell Brand calls Nigel Farage 'poundshop Enoch Powell' in BBC Question Time debate
Russell Brand was rendered speechless on Question Time by this man
Fury at Airbus after it hints the super-jumbo may be mothballed
Disgruntled RBS worker writes hilarious open letter to Russell Brand after anti-capitalist publicity stunt leaves him hungry
Nigel Farage defends Kerry Smith 'ch***y' comment: 'If you are going for a Chinese, what do you say you’re going for?'
Nigel Farage's approval rating hits 'record low' as popularity suffers in wake of Ukip sex scandal
Pakistan school attack live: Taliban kill at least 132 children in 'horrifying' massacre
Sony hack: Angelina Jolie branded 'seriously out of her mind' in further embarrassing leaked email saga
Panic Saturday: 13 million Britons spend £1.2bn – while 13 million others across the country live in poverty unable to afford food
iJobs Money & Business
$200 - $350 per annum: Carlton Senior Appointments: Managing Producer Office...
$125 - $225 per annum: Carlton Senior Appointments: San Fran - Investment Advi...
Up to £70,000 per annum + benefits: Sheridan Maine: Are you a qualified accoun...
Up to £65,000 per annum + benefits: Sheridan Maine: Are you a qualified accoun...