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


MARKET CLOSE: NZ shares rise on Port of Tauranga deal

MARKET CLOSE: NZ shares rise on Port of Tauranga deal

By Jonathan Underhill

June 26 (BusinessDesk) - New Zealand shares gained as Port of Tauranga rose to its highest level this year after inking a deal with the Fonterra and Silver Fern Farms-led Kotahi logistics venture guaranteeing minimum volumes across its wharves. Hallenstein Glasson Holdings climbed after saying late yesterday it was holding its own in the face of unseasonal weather.

The NZX 50 Index rose 25.613 points, or 0.5 percent, to 5130.154. Within the index, 30 stocks rose, six fell and 14 were unchanged. Turnover was $92.9 million.

Port of Tauranga, the nation's busiest export port, rose 4.4 percent to $15 after the announcement that Kotahi members had agreed to push 1.8 million containers across its wharves in the next 10 years and send more cargo to its half-owned Timaru Container Terminal. To cement the deal, Kotahi will take a 1.5 percent stake in Port of Tauranga and a half share of the Timaru terminal.

"It seems like another very robust deal done by the port's management team," said Grant Williamson, a director at brokerage Hamilton Hindin Greene. To reach such a long-term accord was very unusual, the deal was earnings-positive almost immediately and meant more business for Timaru, he said.

Lyttelton Port Co, which competes with Timaru, was unchanged at $3.15 after announcing a 30-year reclamation plan that will create space for a new container terminal and may cost up to $1 billion.

Ryman Healthcare, the nation's biggest retirement village operator, was unchanged at $8.43 after announcing its second $100 million development in as many months, a site at Pukekohe south of Auckland. The stock has soared about 440 percent in the past five years.

"It shows their continued aggressive expansion," Williamson said.

Retailers were mixed. Kathmandu rose 1.6 percent to $3.28, rising for a second day after a slump sparked by a profit warning it attributed to unseasonal weather. Warehouse Group, which has also trimmed its guidance because its having to discount winter stock, was unchanged at $3.04.

Hallenstein climbed 4.1 percent to $3.05. The clothing retailer said this week that sales in February-June were about 2 percent above year-earlier levels, despite unfavourable weather, and it had inventory levels under control.

Contact Energy led gains among power companies, rising 2.1 percent to $5.32. Meridian Energy was up 1.2 percent to $1.23 and Genesis Energy climbed 1.7 percent to $1.80.

A2 Milk Co was the biggest decliner on the NZX 50, falling 2.8 percent to 69 cents. Diligent Board Members Services fell about 2 percent to $3.99.

Of the two companies that debuted on the NZX this week, online travel booking firm Serko rose about 4 percent to $1.05, still below the $1.10 IPO price, while Gentrack Group, which sells software for utilities and airports, gained 1.6 percent to $2.53.

Guinness Peat Group rose 0.8 percent to 67.5 cents with 8.2 million shares changing hands. Trade Me Group rose 1.2 percent to $3.49 as 3.3 million shares traded.

Foley Family Wines rose 6.5 percent to $1.65 after flagging that it intends to join the benchmark index after a placement. Milford Asset Management has emerged with a 9.3 percent stake.


© Scoop Media

Business Headlines | Sci-Tech Headlines


Trade: NZ Trade Deficit Widens To A Record In September

Oct. 27 (BusinessDesk) - New Zealand's monthly trade deficit widened to a record in September as meat exports dropped to their lowest level in more than three years. More>>


Animal Welfare: Cruel Practices Condemned By DairyNZ Chief

DairyNZ chief executive Tim Mackle says cruel and illegal practices are not in any way condoned or accepted by the industry as part of dairy farming.

Tim says the video released today by Farmwatch shows some footage of transport companies and their workers, as well as some unacceptable behaviour by farmers of dragging calves. More>>


Postnatal Depression: 'The Thief That Steals Motherhood' - Alison McCulloch

Post-natal depression is a sly and cruel illness, described by one expert as ‘the thief that steals motherhood’, it creeps up on its victims, hiding behind the stress and exhaustion of being a new parent, catching many women unaware and unprepared. More>>


DIY: Kiwi Ingenuity And Masking Tape Saves Chick

Kiwi ingenuity and masking tape has saved a Kiwi chick after its egg was badly damaged endangering the chick's life. The egg was delivered to Kiwi Encounter at Rainbow Springs in Rotorua 14 days ago by a DOC worker with a large hole in its shell and against all odds has just successfully hatched. More>>


International Trade: Key To Lead Mission To India; ASEAN FTA Review Announced

Prime Minister John Key will lead a trade delegation to India next week, saying the pursuit of a free trade agreement with the protectionist giant is "the primary reason we're going" but playing down the likelihood of early progress. More>>



MYOB: Digital Signatures Go Live

From today, Inland Revenue will begin accepting “digital signatures”, saving businesses and their accountants a huge amount of administration time and further reducing the need for pen and paper in the workplace. More>>

Oil Searches: Norway's Statoil Quits Reinga Basin

Statoil, the Norwegian state-owned oil company, has given up oil and gas exploration in Northland's Reinga Basin, saying the probably of a find was 'too low'. More>>


Modern Living: Auckland Development Blowouts Reminiscent Of Run Up To GFC

The collapse of property developments in Auckland is "almost groundhog day" to the run-up of the global financial crisis in 2007/2008 as banks refuse to fund projects due to blowouts in construction and labour costs, says John Kensington, the author of KPMG's Financial Institutions Performance Survey. More>>


Get More From Scoop

Search Scoop  
Powered by Vodafone
NZ independent news