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

 


ASX-listed Transfield sells out of NZ partnership for A$30m

ASX-listed Transfield sells out of NZ partnership for A$30 mln

Oct. 22 (BusinessDesk) - Transfield Services, the ASX-listed infrastructure specialist, has sold out of its New Zealand industrial construction joint venture with Worley Parsons for A$30 million.

The Sydney-based company sold its stake in the venture to partner Worley to focus on Australian and US markets, and will use the cash to reduce debt, it said in a statement. The partnership accounted for less than 2 percent of its annual revenue of some A$3.45 billion, it said.

“Though this is a good business, it was our only exposure to the New Zealand hydrocarbons sector,” Transfield resources and energy chief executive Joe Sofra said. “The price paid represents good value for our shareholders and the cash from the sale will be applied to reducing our balance sheet gearing.”

The business designs, builds and maintains industrial process plants, offering a complete range of engineering and construction services across a full spectrum of industries, according to its website.

The joint venture had a carrying value of A$9.5 million on Transfield’s books as at June 30.

Transfield said it still provides telecommunications, electrical, road and facilities infrastructure services in New Zealand.

Last month Transfield made headlines in New Zealand over unpaid sub-contractors walking off work to build the nation’s ultra-fast broadband network.

The shares rose 1.5 percent to A$1.37 in trading on the ASX, and have dropped 31 percent this year.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Interest Rates: Wheeler Hikes OCR To 3% On Inflationary Pressures, Eyes Kiwi

Reserve Bank governor Graeme Wheeler lifted the official cash rate for the second time in as many months, saying non-tradable inflationary pressures were "becoming apparent" in an economy that’s picking up pace and he's watching the impact of a strong kiwi dollar on import prices. More>>

ALSO:

Scoop Business: Equity Crowd Funding Carries Risks, High Failure Rate

Equity crowd funding, which became legal in New Zealand this month, comes with a high risk of failure based on figures showing existing forays into social capital have a success rate of less than 50 percent, one new entrant says. More>>

ALSO:

Scoop Business: NZ Migration Rises To 11-Year High In March

The country gained a seasonally adjusted 3,800 net new migrants in March, the most since February 2003, said Statistics New Zealand. A net 400 people left for Australia in March, down from 600 in February, according to seasonally adjusted figures. More>>

ALSO:

Hugh Pavletich: New Zealand’s Bubble Economy Is Vulnerable

The recent Forbes e-edition article by Jesse Colombo assesses the New Zealand economy “ 12 Reasons Why New Zealand's Economic Bubble Will End In Disaster ”, seems to have created quite a stir, creating extensive media coverage in New Zealand. More>>

ALSO:

Thursday Market Close: Genesis Debut Sparks Energy Rally

New Zealand stock rose after shares in the partially privatised Genesis Energy soared as much as 18 percent in its debut listing on the NZX, buoying other listed energy companies in the process. Meridian Energy, MightyRiverPower, Contact Energy and TrustPower paced gains. More>>

ALSO:

Power Outages, Roads Close: Easter Storm Moving Down Country

The NZ Transport Agency says storm conditions at the start of the Easter break are making driving hazardous in Auckland and Northland and it advises people extreme care is needed on the regions’ state highways and roads... More>>

ALSO:

Get More From Scoop

 
 
Computer Power Plus
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news