‘We’re not in a rush to sell Premier’: Brait to offload New Look first, then Virgin Active

Brait CEO Peter Hayward-Butt says the firm will likely first sell stakes in New Look and Virgin Active before looking at Premier. (Photo: Supplied/Brait)

Brait, the private equity firm backed by billionaire Christo Wiese, says UK fashion retailer New Look is likely to be the first of its remaining big three assets to be sold as it waits for better market conditions to offload Virgin Active and its remaining stake in JSE-listed Premier.

CEO Peter Hayward-Butt says Brait believes it will achieve a better exit valuation for its remaining 35.4% stake in Premier if it sells once SA’s economy improves. That comes amid speculation that Brait could sell down its share in the food and consumer goods producer to reduce debt, something Hayward-Butt says has created a negative overhang on Premier’s share price.

“We have no intention of selling Premier now at the current share price – we think there’s a much better return [in future] if we hold those shares,” Hayward-Butt told News24. “The immediate one we want to look at is New Look. That will probably be the first one on the block. Let’s say it raises us a billion rand, reduces the debt, then we’re in a pretty good space, so I would suggest New Look is the first one we’re targeting to exit. This time next year might be a better [UK macroeconomic] environment, so in the next 12 months we might kick off a [sales] process.”