Grand Parade Investments (GPL) is an investment holding company primarily involved in the gaming industry. As a BEE company, it has been listed on the JSE since 2008. The company decided to exit its food franchises, including Dunkin' Doughnuts and Baskin Robbins in February 2019, and Burger King in February 2020. Additionally, GPL sold its remaining 10% stake in Spur Corporation back to Spur in June 2019. On 15th June 2022, GPL announced the unbundling of its 9.28% shareholding in Spur, where shareholders received 1 Spur share for every 56 GPL shares they held as of 10th June 2022 (the unbundling record date).
In its financial results for the six months ending 31st December 2023, GPL reported revenue of R12.7m and headline earnings per share (HEPS) increased to 11.9c from 9.8c in the previous period. The company attributed the improvement to a 34% reduction in net central costs, which dropped to R7.9m due to a restructuring of operations, the write-back of R11m in prescribed dividends, and various cost-saving initiatives.
On 20th October 2022, GPL gave a strong on-balance-volume (OBV) buy signal amid rumors of a potential takeover. On 25th October 2022, GBM Liquidity, a private company, acquired a 27.88% stake in GPL, later increasing this to 35.14%. Additionally, on 11th November 2022, Sun International boosted its stake to 10.56%. Another OBV buy signal emerged on 8th November 2022 at 330c, signaling heightened activity. Subsequently, on 11th April 2023, GPL announced that GBM Liquidity Corporation, a family trust of Greg Bortz, had secured control with 53.65% of the company's issued capital.
In a trading statement for the year ending 30th June 2024, GPL estimated HEPS between 18.94c and 19.46c, a significant improvement compared to 2.56c in the prior year. This improvement was largely driven by a reduction in restructuring costs associated with the exit from non-core investments in the previous year.
Despite these developments, GPL's share price has been moving sideways since 2017. From a technical perspective, it does not appear to offer a particularly compelling investment opportunity at this time.
In its financial results for the six months ending 31st December 2023, GPL reported revenue of R12.7m and headline earnings per share (HEPS) increased to 11.9c from 9.8c in the previous period. The company attributed the improvement to a 34% reduction in net central costs, which dropped to R7.9m due to a restructuring of operations, the write-back of R11m in prescribed dividends, and various cost-saving initiatives.
On 20th October 2022, GPL gave a strong on-balance-volume (OBV) buy signal amid rumors of a potential takeover. On 25th October 2022, GBM Liquidity, a private company, acquired a 27.88% stake in GPL, later increasing this to 35.14%. Additionally, on 11th November 2022, Sun International boosted its stake to 10.56%. Another OBV buy signal emerged on 8th November 2022 at 330c, signaling heightened activity. Subsequently, on 11th April 2023, GPL announced that GBM Liquidity Corporation, a family trust of Greg Bortz, had secured control with 53.65% of the company's issued capital.
In a trading statement for the year ending 30th June 2024, GPL estimated HEPS between 18.94c and 19.46c, a significant improvement compared to 2.56c in the prior year. This improvement was largely driven by a reduction in restructuring costs associated with the exit from non-core investments in the previous year.
Despite these developments, GPL's share price has been moving sideways since 2017. From a technical perspective, it does not appear to offer a particularly compelling investment opportunity at this time.
Penafian
Maklumat dan penerbitan adalah tidak dimaksudkan untuk menjadi, dan tidak membentuk, nasihat untuk kewangan, pelaburan, perdagangan dan jenis-jenis lain atau cadangan yang dibekalkan atau disahkan oleh TradingView. Baca dengan lebih lanjut di Terma Penggunaan.
Penafian
Maklumat dan penerbitan adalah tidak dimaksudkan untuk menjadi, dan tidak membentuk, nasihat untuk kewangan, pelaburan, perdagangan dan jenis-jenis lain atau cadangan yang dibekalkan atau disahkan oleh TradingView. Baca dengan lebih lanjut di Terma Penggunaan.