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

 


MARKET CLOSE: NZ shares extend rally; Xero at record

MARKET CLOSE: NZ shares extend rally; Xero at record, Metlifecare at 5-month high

Oct. 22 (BusinessDesk) – New Zealand shares extended their rally, pushing the NZX 50 Index to an all-time high, as newly capitalised Xero closed at a new record and Metlifecare gained to the highest in five months after its biggest shareholder confirmed the sale of its stake.

The NZX 50 rose 29.232 points, or 0.6 percent, to 4831.789. Within the index, 20 stocks rose, 18 fell and 12 were unchanged. Turnover was $141 million.

Xero, the cloud-based accounting company whose US shareholders are bankrolling its assault on the US market, climbed 6.8 percent to $28.30. That gives the company, which is yet to make a profit, a market value of $3.61 billion.

Metlifecare rose 2.8 percent to $3.70, the highest since May 7. Australia’s Retirement Villages Group, the biggest shareholder, said this week it has hired Goldman Sachs to sell its 37.7 percent stake in the company. Rival operator Ryman Healthcare rose 1.9 percent to a record $7.41.

That stake “will certainly have some impact if it hits the market,” said James Lee, head of institutional equities at First NZ Capital. “That will remove all that overhang.”

PGG Wrightson, the rural services company controlled by Agria Corp, was unchanged at 39 cents after naming the Chinese company’s founder Alan Lai as its new chairman, replacing John Anderson, and forecasting a lift in full-year operating earnings

Kathmandu, the outdoor equipment retailer, rose 2.2 percent to $3.67.

Fletcher Building gained 1.4 percent to $9.64 after the Ministry of Business, Innovation and Employment announced plans for an ‘all of government’ procurement of building materials to take the sting out of an annual $3.3 billion spend in the next five to eight years. The government expects to ramp up its construction spending over that period because of the Canterbury rebuild and to deal with outstanding leaky-homes work.

Telecom Corp fell 0.2 percent to $2.275 after the telecommunications company confirmed it’s looking at selling its under-performing AAPT unit in Australia, though didn’t respond to speculation it may also exit its 10 percent stake in Hutchison Telecommunications Australia.

Vector was unchanged at $2.61 after chairman Michael Stiassny told shareholders at today’s annual meeting that it was looking at opportunities in Australia as opposed to acquisitions in New Zealand because local tax laws favoured foreign investment.

Dual-listed APN News & Media gained 6.5 percent to 49 cents on the NZX after it agreed to sell its remaining 48 percent stake in APN Outdoors for A$69 million, a premium to the A$51.6 million carrying value attributed to the investment in its first-half report.

Pacific Edge soared 47 percent to a record $1.06 after it signed its second deal in as many weeks with a US healthcare network provider, giving it access to 44 million people in the world’s biggest economy.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Auckland Transport: Government, Council Agree On Funding Approach

The government and Auckland Council have reached a detente over transport funding, establishing a one-year, collaborative timetable for decisions on funding for the city's transport infrastructure growth in the next 30 years after the government refused to fund the $2 billion of short and medium-term plans outlined in Auckland's draft Unitary Plan. More>>

ALSO:

Bullish On China Shock: Slumping Equities, Commodities May Continue, But Not A GFC

The biggest selloff in stock markets in at least four years, slumping commodity prices and a surge in Wall Street's fear gauge don't mean the world economy is heading for another global financial crisis, fund managers say. More>>

ALSO:

Real Estate: Investors Driving Up Auckland Housing Risk - RBNZ

The growing presence of investors in Auckland's property market is increasing the risks, and is likely to both amplify the housing cycle and worsen the potential damage from a downturn both to the financial system and the broader economy, said Reserve Bank deputy governor Grant Spencer. More>>

ALSO:

Annual Record: Overseas Visitors Hit 3 Million Milestone

Visitor arrivals to New Zealand surpassed 3 million for the first time in the July 2015 year, Statistics New Zealand said today. The record-breaking 3,002,982 visitors this year was 7 percent higher than the July 2014 year. More>>

ALSO:

The Future: Thirty Year Infrastructure Plan Released

The Thirty Year New Zealand Infrastructure Plan 2015 sets out New Zealand’s response to the infrastructure challenges we will face over the next three decades, Finance Minister Bill English says. More>>

ALSO:

Shopping: Online GST Discussion Document

GST: Cross-border services, intangibles and goods contains proposals to require overseas suppliers to register and return GST when they sell services (including online products such as e-books, music and videos) to New Zealand consumers. It also outlines the way forward for improving the collection of GST on all goods, including low-value imported goods. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news