Japanese buy into Compass

Press, 15 July 1987, Page 39

Japanese buy into Compass

PA Wellington One of Japan’s major duty-free operators, Blanc de Blancs, Ltd, has taken a 10 per cent stake in newly-listed Compass Duty Free, Ltd.

Blanc de Blancs is a major duty free concessionaire at Osaka International Airport. Announcing the holding, the managing director of Compass, Mr Rex Hill, said the numbers of Japanese tourists visiting New Zealand was increasing every year and Blanc de Blancs forecast even greater visitor activity. "Tourism industry figures show that the Japanese market in New Zealand is by far the most lucrative in terms of purchasing power, so we welcome the Japanese which we believe has important implications for the company’s development.” Mr Hill said Blanc de

Blancs had chosen not to make public their holding in Compass Duty Free earlier for strategic reasons. Now that one of their major international rivals, DFS, had lost the major concession in Hong Kong, they felt it was the appropriate time to declare this offshore interest.

He said the company’s philosophy was to retain shareholding in New Zealand among New Zealand shareholders, but when Blanc de Blancs first discussed with Compass their acquiring an interest in the company it afforded Compass the opportunity to become involved with an onshore duty free operator in Japan. “It provides us with access into a massive market,” he said. “The Japanese are very discerning and have certain buying preferences. Compass Duty Free has widened its range of products and now carries in excess of 18,000 items with a view to accommodating those needs.”