Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


MARKET CLOSE: NZ shares rally; NZX gains on IPO prospects

MARKET CLOSE: NZ shares rally; NZX gains on listing prospects after ruling

Feb. 27 (BusinessDesk) – New Zealand shares rose, pushing the NZX 50 Index to a new five-year high, as a court ruling allowing the sale of MightyRiverPower stoked optimism for new NZX listings.

The NZX 50 rose 37.40 points, or 0.9 percent, to 4276.31, the highest close since October 2007. Within the index, 31 stocks rose, 12 fell and seven were unchanged. Turnover was a higher-than-average $160 million.

The Supreme Court today dismissed attempts by Maori claimants to settle Treaty of Waitangi claims to freshwater rights before the sale of 49 percent of state-owned MightyRiverPower, clearing the way for the first of a series of floats that are set to give the share market a shot in the arm.

NZX rose 5.6 percent to $1.32 after the decision was released.

“That’s obviously got investors interested again in what it means for the market in terms of potential floatations,” said Shane Solly, portfolio manager at Mint Asset Management.

SkyCity Entertainment Group rose about 2 percent to $4.18, Trade Me gained 2.1 percent to $4.80 and Telecom climbed 2.2 percent to $2.37.

“They’re all good positive income producing companies,” Solly said. “We’re coming through the reporting season without any major explosions, which is a comforting thing for investors,” he said, referring to the market’s rally.

PGG Wrightson, the rural services company controlled by Singapore-based Agria, was unchanged at 41 cents after posting first-half profit by 55 percent on earnings growth, allowing it to declare a 2.2 cents a share interim dividend.

Guinness Peat Group fell 0.9 percent to 58 cents. The London-headquartered firm made a loss of 3 million pounds in the 12 months ended Dec. 31, compared to a profit of 1 million pounds a year earlier as it continues to wind down its investment portfolio.

Energy Mad, the energy efficient light-bulb marketer, fell 4.8 percent to 40 cents after projecting a loss of $1.1 million for the year to March 31, compared with a $4 million forecast profit in its 2011 prospectus and a revision just two months ago to expect a profit at the low end of a range between $100,000 and $2 million.

A2, the milk company that markets milk with a protein variant said to have health benefits, rose 3.9 percent to 54 cents after reporting that earnings before interest, tax, depreciation and amortisation jumped 54 percent to $3.5 million

TeamTalk fell 3 percent to $2.85 after cutting its annual earnings guidance, blaming the downgrade on the government-imposed levy to pay for servicing unprofitable customers in remote areas.

New Zealand Refining fell 5.6 percent to $2.55 after the nation’s only oil refinery operator said an uplift in refining margins through the end of last year probably won’t be sustained in 2013.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Scoop Business: Govt Resisting Pressure To Pump More Cash Into Solid Energy

Prime Minister John Key says it is “not the government’s preferred option” to make a fresh capital injection into the troubled state-owned coal miner, Solid Energy, but dodged journalists’ questions at his weekly press conference on whether that might prove necessary... More>>

ALSO:

Lagest Ever Privacy Breach Award: NZCU Baywide Accepts “Severe” Censure In Cake Case

NZCU Baywide says that once it was found to have committed a breach of a former staff member’s privacy, it had attempted to resolve the matter... the censure and remedies for its actions taken almost three years ago are “severe” but accepted, and will hopefully draw a line under the matter. More>>

ALSO:

Scoop Business: PayPal Stops Processing Mega Payments; NZX Listing Still On

PayPal has ceased processing payments for Mega, the file storage and encryption firm looking to join the New Zealand stock market via a reverse listing of TRS Investments, amid claims it is not a legitimate cloud storage service. More>>

ALSO:

Housing Policy: Auckland Densification As Popular As Ebola, English Says

Finance Minister Bill English said calls by the Reserve Bank Governor for more densification in Auckland’s housing were “about as popular in parts of Auckland as Ebola” would be. More>>

ALSO:

Crown Accounts: NZ Government Deficit Smaller Than Expected In First Half

The New Zealand government's operating deficit was smaller than expected in the first six months of the financial year, as the consumption and corporate tax take rose ahead of forecast in December, having lagged estimates in previous months. More>>

ALSO:

Get More From Scoop

 
 
Standards New Zealand

Standards New Zealand
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news