Dicker Soothes Shareholders Over Big Stock Sell-Off
David Dicker has sought to quash investor skittishness over his sale of 2.74 million shares in his own company to fund purchases including a private jet.
The sale leaves Dicker with 58 million shares in Dicker Data or 33.6 per cent of total shares issued, still the largest shareholder in the company, which recently acquired NZ distributor Exeed.
In his statement posted on the ASX, he said the funds from the sale – about $42 million, according to The Australian – would go towards buying a used Bombardier XRS private jet; financing his Rodin Cars pursuit, which will make and sell Formula One-style racing cars from New Zealand’s South Island; and investing in the US stock market.
Dicker assured investors he wasn’t going anywhere, saying the resulting loss of confidence in the company was “entirely unwarranted” and a result of people “read[ing] things into the sale that are just not there”.
“This sale does not mean, in any way, that I am reducing my role or involvement with Dicker Data. For the 43 years that I have run this company, I have very rarely had a day-to-day role. Certainly not since long before we became a public company,” he said.
According to Dicker, his role is to “build and maintain the structures that underpin” Dicker Data, and to work on large projects including deals with Exeed and Express Data as well as the public float.
“My ability to continue in this role is not impacted in the slightest by my sale of shares. I am 68 years old and could have retired many years ago. Instead, I choose to continue to work in the company I founded with the same passion I have always had,” he said.
Dicker’s remaining shareholding in Dicker Data is estimated to be worth around $800 million.