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

 


Investment Gains Deliver Strong Full Year Result

Investment Gains Deliver Strong Full Year Result For Rangatira

Wellington investment company Rangatira today announced a full year profit after tax of $39.4 million, compared with $8.5 million last year, following gains on the sale of investments of $32.1 million.

The $32.1 million contribution resulted from Rangatira selling its 50% holding in Contract Resources, its direct holding in Xero Limited, and its investment in Greenfield. Rangatira still retains an indirect holding in Xero through Valar Ventures.

Directors have assessed the asset backing of Rangatira’s shares to be $11.20 at 31 March 2014, compared to $10.63 last year.

A final fully imputed dividend of 26¢ has been declared making the total dividend for the year 46¢ (last year 42¢). The dividend will be paid on 30 June 2014 and the share register will close for dividend purposes on 20 June 2014.

Rangatira’s chairman David Pilkington said, “The total shareholder return of 9.5% is further endorsement of Rangatira’s long term investment strategy. The company’s average after tax return over the past ten years has been 10.9%, well ahead of most investment funds and the NZSX50 Index.”

New Investments
During the year Rangatira acquired a 12% stake in Magritek. Magritek is an advanced technology company founded by Sir Paul Callaghan that has become a world leading provider of compact, portable MRI and NMR systems. Rangatira also acquired a 35% holding in Wellington based Tuatara, one of New Zealand’s largest independent craft brewers. Rangatira has invested in two further technology companies including IkeGPS and Mesynthes. Rangatira has also invested in JAFCO, a US technology fund.

A number of Rangatira Group companies have being enhanced by strategic investments. These include Hellers’ acquisition of Goodman Fielder meats, Rainbows End’s new Stratosfear ride and Tuatara expanding its brewing capacity to meet strong customer demand.

Further investments sought
Rangatira currently has about $50 million of funds available for investment as opportunities become available.

Rangatira’s chief executive Ian Frame said, “We are actively looking to invest in well-managed New Zealand companies with strong growth potential that need additional capital to take them to the next stage.”

Rangatira has a longer investment timeframe than many private equity funds and prefers to be a cornerstone investor, co-investing with business owners and management. In some cases, it will do this alongside other like-minded investment companies and institutions.

“Rangatira’s investment strategy of ‘investing in business for growth’ has produced good and sustained returns over many years for its shareholders. This can be attributed to a diversified portfolio, conservative gearing and the active involvement of our directors and management in the governance of the companies in which we invest.” Ian Frame said.

David Pilkington said, “Rangatira has had a solid start to the new year, which is pleasing given the seasonal nature of the performance of many of our unlisted investments. Looking ahead, the company has a strong balance sheet and is well positioned to take advantage of market opportunities as they arise.”

ENDS

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Scoop Business: Alex Swney Pleads Guilty To $2.5M Fraud Charge

Alex Swney, former chief executive of the Auckland city centre business association Heart of the City, has pleaded guilty to dishonestly using documents to obtain $2.5 million. More>>

ALSO:

Petrol Burns Prices: Second Consecutive Quarterly Fall For CPI

The consumers price index (CPI) fell 0.3 percent in the March 2015 quarter, following a 0.2 percent fall in the December 2014 quarter, Statistics New Zealand said today. The last time the CPI showed two consecutive quarterly falls was in the December 1998 and March 1999 quarters. More>>

ALSO:

Scoop Business: NZ Broadcasters Launch Battle Against Global Mode ISPs

New Zealand broadcasters have confirmed they’ve launched legal proceedings against internet service providers who give customers’ access to “global mode”, which allows customers access to offshore online content, claiming it breaches the local content providers’ copyright. More>>

ALSO:

Sanford: Closure Of Christchurch Mussel Processing Plant Confirmed

The decision comes after a period of consultation with the 232 staff employed at the Riccarton site, who were told on 9 April that Sanford was considering the future of mussel processing in Christchurch. Recent weather patterns had impacted on natural spat (offspring) supply... More>>

ALSO:

Price Of Cheese: Dairy Product Prices Fall To The Lowest This Year

Dairy product prices fell in the latest GlobalDairyTrade auction, hitting the lowest level in the 2015 auctions so far, as prices for milk powder and butter slid amid concern about the outlook for commodities. More>>

ALSO:

Houston, We Have An Air Route: Air New Zealand To Fly Direct To The Heart Of Texas

Air New Zealand will fly its completely refitted Boeing 777-200 aircraft between Auckland and Houston up to five times a week opening up the state of Texas as well as popular nearby tourist states such as Louisiana and Florida. More>>

ALSO:

Scoop Business: Reserve Bank’s Spencer Calls On Govt To Rethink Housing Tax

The Reserve Bank has urged the government to take another look at a capital gains tax on investment in housing, allow increased high-density development and cut red tape for planning consents to address an over-heated Auckland property market. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news