Sam Morgan invests $1m in beauty products company
TradeMe founder explains his plunge into personal care.
Trade Me founder Sam Morgan has spent $1 million buying 1.25 million shares in scented candle and beauty products company Ecoya.
Mr Morgan bought the 2.4 percent stake from the Business Bakery (the investment vehicle of 42-Below founders Geoff Ross, Grant Baker and Stephen Sinclair) which now holds 57.3% of Ecoya.
Mr Morgan said he had been watching Ecoya and believed it was a good time to invest in a company with strong growth.
"I'm excited about the investment because it's being driven by great entrepreneurs - Geoff Ross and Sarah Gibbs from Trilogy just two examples - who have their money on the line and the company is showing great momentum," Mr Morgan told NBR.
"I know very little about scented candles and body lotion, but that sounds like it could be fun too."
Ecoya shares (NZX: ECO) have been thinly traded since the company listed in April last year at $1, and have spent most of the past year in a trough. Mr Morgan bought his parcel at the current price, 80 cents a share.
The company lost $4 million on sales of $14.3 million in the year ended March 31.
Ecoya's pool of investors includes Air New Zealand chief executive Rob Fyfe, who also sits on the company's board.
BELOW: Ecoya 12-month chart courtesy NXZ.com (click to enlarge):
Chris Keall
Fri, 24 Jun 2011
Fri, 24 Jun 2011
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Sam Morgan invests $1m in beauty products company
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