Mr Tony Smurfit, chief executive of Smurfit's operations in France, has acquired an 18 per cent shareholding in Robert J. Goff, the bloodstock group. No consideration has been disclosed but he is understood to have paid between £1.6 million and £1.7 million. He said the investment had been made entirely for business reasons. "Goffs is an organisation with some significant strengths, which I believe can be built upon." The shares were purchased from existing shareholders. He purchased the 6.46 million shares held by Bravo Romeo (an Aga Khan company), and the 2.5 per cent shareholding held by US bloodstock group, Fasig-Tipton. The Aga Khan holding has now been reduced from 45 per cent to 31 per cent. A spokesman for the Aga Khan welcomed the investment by Mr Smurfit and said he was intent on broadening the company's shareholder base by bringing in leaders from industry, both in Ireland and from abroad. The investment by Mr Smurfit "will further strengthen Goffs at a time when it is registering record profits".
Mr Smurfit, the eldest son of Dr Michael Smurfit, spends most of his time in France. He will be represented on the Goff board by Mr Dermot Cantillon, his stud manager in Ireland. The Smurfit stud, called Forenoughts, was established in 1985. Situated outside Naas, Co Kildare, it stands on 200 acres and has stabling for 30 horses. It has bred several good winners, including In A Tiff which won the Italian Derby. Mr Smurfit (34) has worked in various parts of the Jefferson Smurfit Group in Europe and the US. Prior to taking up his present appointment, he was deputy chief executive of Smurfit France. He is also on the Aer Rianta board.
Mr Smurfit has 118,134 shares in the Jefferson Smurfit Group which at 215p per share, are valued at £254,000. He has options over almost 500,000 shares.
Robert J. Goff has been recording a strong recovery and the latest results showed a doubling of pre-tax profit from £340,000 to £681,000 in the year ended March 31st, 1997. This was due to a rise in the sale of bloodstock and an increase in the financial services business. This growth has continued this year. The shares are not quoted, but are dealt in on a matched basis. They have been rising and were last dealt in at around 20p.
The company is still waiting for planning permission to build a tourist village at its Kildare paddocks complex. It has planning permission to build a 130-bedroom hotel.
