Premier Investments Bid For Myer

Last month Premier Investments surprised the market when they advised that they had purchased a 16 per cent stake in Myer.
Premier Investments, owned by Solomon Lew, has revealed that they do not have any intentions to take over the Myer business which they recently bought in to. This news was not positively received by the market causing shares in Myer to drop 1% to 50.5 cents. Myer shares have still enjoyed a healthy 67 per cent rise this year, mostly due to excitement of Premier Investments taking an interest in the country.
The questions on whether Premier Investments would be making a pitch for Myer arouse after Myer engaged Luminis Partners as an advisor to the business. This engagement is usually an indication that a company believes that another company is interested in a takeover at some stage soon and they need to take a defensive position.
Myer share prices have also risen because of a better trading performance. Research conducted by Bloomberg of the market analysis estimates that Myer will achieve an underlying profit of over $33 million for the 12 months to July. This is a huge improvement compared to last year where the company reported a loss of $11.3 million in 2019 – 2020.
Myer believes that Premier Investments are attempting to take control of the company without making an offer, instead forcing structural changes that put’s their own people in.
Premier Investments own a stable of brands including JayJays and Peter Alexander. They along with other online retailers such as Stax have had great results over the past year. Use a Stax Coupon to save when you shop at Stax online.