Grand Parade Announces Its Exit From The Restaurant Business
Grand Parade Announces Its Exit From The Restaurant BusinessGrand Parade has announced that it is exiting the restaurant business in order to focus more on its gaming business. The company announced that it has sold its shares in the fast food outlet Spur.
The company said in a statement, “The unbundling of the Spur Shares is aligned with GPI’s strategy to unlock value by reducing the discount at which GPI shares trade, relative to the intrinsic net asset value of GPI’s underlying assets. Currently GPI shares trade at a discount in excess of 20%. The unbundling of the Spur Shares will give GPI’s shareholders the opportunity to hold a direct interest in Spur rather than through GPI. On completion of the Unbundling, the Spur Shares held directly by Shareholders will be valued at the market value thereof as opposed to a discount to market if held through GPI.”
Grand Parade Investments (GPI) is an empowering investment holding company that actively manages investments in its current focus areas of food and gaming. The Company was founded in 1997 for the purpose of partnering with Sun International South Africa (Pty) Ltd as its primary black economic empowerment partner in the Western Cape. R28 million was raised from over 10 000 previously disadvantaged community members, since then the company has grown its investment portfolio within the gaming industry.
The first Spur Steak Ranches opened its doors in Cape Town in 1967. The group first listed on the travel and leisure sector of the JSE in 1986. A major restructuring of the group was undertaken in 1999, which resulted in the formation and listing of Spur Corporation, as it is known today. In December 1990 a second restaurant brand, Panarottis Pizza Pasta, was developed by the group. Applying the same principles that made Spur Steak Ranches a household name, Panarottis soon capitalised on the growing popularity of pizza and pasta.
