JS McMillan Printing increases its stake in Penfold Buscombe

The deal continues the churn of Penfold Buscombe shares that started with the sales of 20 per cent of its capital, also owned by WC Penfold, last December to institutional and retail buyers. It heightens speculation that the printing company, which posted a solid result two weeks ago www.bluelinemedia.com.au/index.cfm?art=941&comid=1 is the subject of takeover strategies.

Bob McMillan paid a premium of 2.5 cents over the market price of 95 cents for the shares, which is 62 per cent higher than the 60 cents received for the 20 per cent stake sold in December. The deal lifts his stake holding from the previous 5.6 per cent to over 13 per cent when a small number of options are factored in.

JS McMillan is one of the industry’s largest privately owned printing companies with a consolidated plant in South Granville in Sydney’s west. In addition to being a pioneer in print management it also has a 50 per cent stake in Pirie Printers, one of the largest printers in the ACT. In recent times it has won substantial print management contracts in Melbourne.

The company is making no comment on plans for its stake in Penfold Buscombe.