Questar 30% in holding firm

Press, 16 July 1986, Page 34

Questar 30% in holding firm

Questar Corporation, which is to be listed on the New Zealand Stock Exchange today, has announced that it will take a 30 per cent interest in a new holding comany formed as an umbrella for a number of leading sports, leisure and tourism interests.

This will be achieved by the issue of one million Questar shares to the holding company, at a price of 150 c each.

Questar chairman, Mr Gary Lane, said that the investment in the holding company, which is subject to Commerce Commission approval, was a logical extension of Questar’s current leisure-related activities, and also complemented Rainbow Corporation’s 80 per cent interest in Holeproof Corporation, which has the New Zealand franchise for Le Coq sportif sports clothing and accessories.

Questar Corporation was formed in June this year as a

itl per cent subsidiary of Rainbow Corporation.

The sporting goods/leisure company, whose name is yet to be finalised, will have 100 per cent interests in Kilwell Sports, Ltd, and its subsidiaries — based in Rotorua, GJB Products, Ltd, of KatikaU, Simon Dickie Adventures, Ltd, of Taupo, and Shawn Sports, Ltd, of Auckland.

The new company will have a capital base of about $lO million, and may seek Stock Exchange listing later this year. A further equity partner, Kirkmay Investments, Ltd, has taken a shareholding in the new holding company. Questar also announced the issue of a further 400,000 non-transferable, partly paid shares to staff at 150 c. This issue is subject to the approval of shareholders, which will be sought at a meeting to be called later in the year.