Long4Life, the investment company with a lifestyle focus, said yesterday its board had concluded that the optimal structure for the group in the medium term would be to create a focused niche retail business, of which the unbundled sport and recreation division would form the basis.
This followed a detailed review of the structure and composition of the group to explore options to unlock value for shareholders.
The review included an assessment of whether a holding company discount was a factor in the undervaluation of the group a statement said yesterday,
The potential for unbundling of assets was explored and whether a niche-focused retail entity would enable enhanced growth and potential merger opportunities.
As CEO of the reconstituted division, Bradley Moritz would be tasked to pursue suitable acquisitions to bolster this niche retail group. Should these opportunities materialise, this may accelerate a proposed unbundling.
An assessment was also made of the non-retail assets. It was concluded that these assets offered long-term growth potential and that further investment should be made by the group in these businesses. For now, the group would operate in its current form.
BUSINESS REPORT