Rod Duke. Photo / Brett Phibbs
Retailing king Rod Duke has upped his stake in children's clothing company Pumpkin Patch, describing the move as an "opportunistic" buy and not a play for the company.
Duke, head of Briscoe Group, bought on-market 1.7 million shares for $1.60 each on Tuesday, giving him 9.38 per cent
of the company.
The move, done through his family trust Kein Geld, mirrors a similar move in March when he bought 6 million shares, upping his trust's stake in the company from 4.9 per cent to 8.37 per cent, also at $1.60 per share.
"It's an investment that I've participated in since the day of listing and I'm just being opportunistic.
"I don't know what's going to happen in the future - whether a buck sixty is a good price or a bad price - but it seems to me that it's a pretty good company. All retail is going through a bit of pain at the moment - we'll probably go through a bit more - but I think this looks like a company that's going to come out the other end of this in pretty fair shape."
A former market darling, Pumpkin Patch has had a rough ride over the past year as it grapples with difficult trading conditions in its main markets.
But economic sluggishness globally has already seen it put its US expansion plans on hold, while its share price has come well down from its 52-week high of $3.70. Pumpkin Patch closed yesterday at $1.64.
Duke said at the time of the March purchase that he had been a fan of its range for some time, buying the clothing for his son. But he was not seeking a seat on the board.
In another substantial shareholder notice yesterday fund manager Fisher Funds disclosed it had sold down its stake in Pumpkin Patch to just 6.02 per cent. Last year it owned more than 10 per cent.
