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

 


Jade Software returns $14.9 mln to investors from Wynyard

Jade Software returns $14.9 mln in share buyback after Wynyard float

By Paul McBeth

April 28 (BusinessDesk) - Jade Software, the Christchurch-based software developer, returned $14.9 million to shareholders via a buyback after struggling to find compelling new opportunities after the initial public offer of former subsidiary Wynyard Group.

The company’s coffers were swelled by the July float of Wynyard, with net cash rising to $30.7 million as at Dec. 31, from $7.6 million a year earlier, according to its annual report, filed with the Companies Office. Jade bought back 24.4 million shares at 61 cents apiece on Feb. 21, about 55 percent of the shares on issue.

Jade was spun out Wynyard as a standalone entity in January last year before the mid-year float when about 64 percent of the company was sold to the public. Wynyard’s shares have since soared to $2.33.

Chair Ruth Richardson said the board considered its future strategy in the wake of the Wynyard IPO, weighing up prospects across its lines of business and how much cash was needed to accelerate revenue growth and repay debt.

“In the absence of other compelling business opportunities to deploy the remaining surplus cash, the board determined to return this to shareholders in the form of a $15 million share buy-back,” Richardson said. “This return of capital means shareholders will have had the advantage of two liquidity events in recent times, a fitting reward for their patience over the business building years.”

The Wynyard float pushed Jade into the black for the first time since 2009, with the group reported a net profit of $7.5 million in the 12 months ended Dec. 31, from a loss of $5.2 million in 2012. Jade made a loss of $8.1 million from continuing operations, with discontinued operations contributing a profit of $15.6 million.

Earnings before interest, tax, depreciation and amortisation plunged 84 percent to $737,000, including a $4.3 million cost from the carving out of Wynyard. Revenue gained 14 percent to $26.5 million.

Jade managing director David Lindsay said the company plans to transform its master terminal unit into “a new logistics company with additional product offerings being brought to market” in 2014, as it seeks to become the world’s largest supplier of terminal operating systems to mixed cargo ports.

The company will combine its digital and enterprise units, which provide IT services and support to corporate customers, into one brand, known as Jade Business Solutions, he said.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

BusinessDesk: SkyCity Lifts Minimum Convention Centre Investment To $430M

SkyCity Entertainment Group, the casino operator, has lifted the minimum it will invest in the Auckland International Convention Centre to $430 million and said total costs including land may be $450 million to $470 million. More>>

Statistics: Drop In Dairy Prices Leads Fall In Exports

Total goods exports fell $240 million (5.5 percent) to $4.2 billion in April 2015 compared with April 2014, Statistics New Zealand said today. More>>

BusinessDesk: APN's NZME Sees Future In Paywalls, Growth In Digital Sales

APN News & Media has touted a single newsroom concept for its NZME unit in New Zealand, similar to what Germany's Die Welt uses, saying an 'integrated sales proposition' is helping it win market share, including ... More>>

Labour Party: Global Milk Prices Now Lowest In 6 Years

The latest fall in the global dairy price has brought it to the lowest level in six years and shows there must be meaningful action in tomorrow’s Budget to diversify the economy, says Labour’s Finance spokesperson Grant Robertson. “Dairy prices ... More>>

BusinessDesk: NZ Inflation Expectations Creep Higher In June Survey

May 19 (BusinessDesk) - New Zealand businesses lifted their expectations for inflation over the next two years, sapping any immediate pressure on the Reserve Bank to cut interest rates, and prompting the kiwi dollar to jump higher. More>>

BusinessDesk: Lower Fuel Costs Drive Down NZ Producer Input, Output Prices

May 19 - Producer input and output prices fell in the first quarter, mainly reflecting lower fuel costs and weakness in prices of meat and dairy products. More>>


Media: Fairfax Media NZ Announces Senior Editorial Team

Fairfax Media New Zealand has today confirmed its new editorial leadership team, as part of a transformation of its newsrooms aimed at enhancing local and national journalism across digital and print. More>>

Science: Flavonoids Reduce Cold And Cough Risk

Flavonoids reduce cold and cough risk Research from the University of Auckland shows eating flavonoids – found in green tea, apples, blueberries, cocoa, red wine and onions – can significantly reduce the risk of catching colds and coughs. The research, ... More>>

BusinessDesk: RBNZ House Alert Speech The Catalyst For Government Action

Prime Minister John Key all but conceded that pressure from the Reserve Bank of New Zealand for concerted action on rampant Auckland house prices was one of the main catalysts for the government's weekend announcements about tightly ... More>>

BusinessDesk: How To Fall Foul Of The New Housing Tax Rules: Tips From IRD

Just because you rented out your investment property doesn't absolve you from paying tax, says the Inland Revenue Department in a summary of commonly made mistakes by non-professional property investors when it comes to their tax liability.More>>

Legal: Superdiversity Law, Policy And Business Stocktake Announced

Mai Chen, Managing Partner at Chen Palmer New Zealand Public and Employment Law Specialists and Adjunct Professor of Law at the University of Auckland, today announced the establishment ... More>>

Housing: More House Price Gains Expected

House price expectations remain high, with a net 56% of respondents expecting house prices will increase. Fears of higher interest rates are fading, consistent with the RBNZ’s signals this year. Affordability and a lack of houses for ... More>>

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news