PARK Group appears to have had a bit of a return to favour with the stock market in recent months.
The share price of Peter Johnson’s alternative investment market quoted company closed last night at 46.5p. That’s double the price it was this time last year, which surely is cheering up Mr Johnson no end. He is by far the biggest share owner in the company.
It is a marked change in fortunes for the entrepreneur.
Ten years ago, it appeared he could do nothing right. He owned Everton Football Club but was hated by the fans for selling Duncan Ferguson at the behest of the bank. His investment in bulky parcels firm Nightfreight was diminishing in value as City investors deserted it. Meanwhile, his other big investment, Park Group, was about to embark on its ill-fated foray into the flavoured potato chip market.
Things got so bad, he was forced to return from tax exile in Jersey to take back control of the reins of the business, but still Park struggled to make a worthwhile profit for a number of years yet.
Now, however, those bad days seem to be over. Park has seen a strong rise in its Christmas savings business and has clearly got over the ramifications of the collapse of Farepak.
This improvement in fortunes should be no surprise. Peter Johnson is clearly a canny entrepreneur who built up Park from scratch in the first place. While it may have taken a few wrong turns along the way, its focus now on financial services like savings vouchers has put it on a steadier track than in the past. It may even be that the current economic climate has encouraged more people to save for Christmas using Park Group’s services.
It shouldn’t be forgotten, however, that the principal reason wealthy entrepreneurs move to a tax haven like Jersey is to save tax on the sale proceeds of their businesses. The various troubles of the past decade, though, got in the way of any hoped- for disposal, and Mr Johnson’s retirement plans.
Perhaps the improvement in Park’s share price will induce the Birkenhead entrepreneur to try again for a sale.
AS OUR story on Page 2 of today’s LDP Business reveals, the Port of Liverpool appears to be gaining ground on its rivals.
The Peel Ports-owned operation has leapfrogged over Forth Ports to claim sixth spot in the Department of Transport’s latest quarterly ranking of Britain’s largest ports.
It’s a close-run thing, but nevertheless the figures indicate an improvement in Liverpool’s share of UK maritime trade.
It’s very hard to put a finger on the cause of Liverpool’s improvement, other than to say there has been a gradual increase in general trade levels. There is no obvious single explanation for it, other than the fact that Liverpool’s English hinterland is significantly larger than Forth’s natural market place in Scotland. Liverpool’s rise also seems to defy the ongoing economic troubles in recession-hit Ireland, one of its biggest trading partners.
It is, of course, Peel’s stated intention that the Port of Liverpool should gain more market share and move up the rankings to third or fourth place over the next decade or two, creating thousands of new jobs in the process.
It’s a big and laudable ambition that would serve both the company and the region well, if it were achieved.
Clearly, the DoT’s figures suggest that a start has been made and things are moving in the right direction. Hopefully this rising trend will continue.
