Milford takes $3M bite of Burger Fuel

(BusinessDesk) - Burger Fuel Worldwide, which is expanding by licensing its burger chain concept in the Middle East, raised $2 million selling shares at a discount to funds run by Milford Asset Management.

The Auckland-based company will issue 1.6 million shares at $1.25 apiece to the Milford Active Growth Fund and the Milford Active Growth KiwiSaver Fund, it says in a statement today.

Shares jumped 7.1 percent to $1.50 on the NZX.

The Milford funds are also acquiring 800,000 shares at the same price from Mason Roberts Holdings, the investment vehicle of chief executive Josef Roberts and partner Chris Mason. As a result of the transactions the funds will own 4.6 percent of the company, it says.

Mason Roberts remains the biggest shareholder with 83%and other public shareholders own 12.4%.

Chairman Peter Brook says that even though the stock has traded as high as $1.41 recently, volumes were light and the price "represented good value to all existing shareholders." Grant Samuel advised the company on the transactions.

"This will allow the company to accelerate investment, giving it the ability to establish a stronger base for future earnings," Brook said.

(BusinessDesk)


Got a question about this story? Leave it in Comments & Questions below.

This article is tagged with the following keywords. Find out more about MyNBR Tags

Comments & Questions

Commenter icon key: Subscriber Verified

Post New comment or question

Plain text

  • No HTML tags allowed.
  • Web page addresses and e-mail addresses turn into links automatically.
  • Lines and paragraphs break automatically.

NZ Market Snapshot

Forex

Sym Price Change
USD 0.6977 0.0000 0.00%
AUD 0.9169 0.0000 0.00%
EUR 0.6094 0.0000 0.00%
GBP 0.4775 0.0000 0.00%
HKD 5.4121 0.0000 0.00%
JPY 74.1560 0.0000 0.00%

Commods

Commodity Price Change Time
Gold Index 1292.7 26.930 2016-04-29T00:
Oil Brent 47.4 -0.400 2016-04-29T00:
Oil Nymex 45.9 -0.110 2016-04-29T00:
Silver Index 17.8 0.240 2016-04-29T00:

Indices

Symbol Open High Last %
NZX 50 6790.0 6822.1 6790.0 0.45%
NASDAQ 4805.8 4807.9 4805.3 -0.62%
DAX 10235.5 10252.1 10321.1 -2.73%
DJI 17813.1 17814.8 17830.8 -0.32%
FTSE 6322.4 6322.4 6322.4 -1.27%
HKSE 21215.2 21235.4 21388.0 -1.50%
NI225 17439.0 17572.3 17290.5 -3.61%