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

 


Metroglass, Scales likely to get over the line

Metroglass, Scales likely to get over the line as instos peruse offers

By Jonathan Underhill

July 3 (BusinessDesk) - Metro Performance Glass and Scales Corp, seeking to raise a combined total from selling shares of about $460 million, are likely to succeed in their initial public offerings, investors say.

Matthew Goodson, who helps manage $650 million at Salt Funds Management, said his firm has rejected investing in two other IPOs in the current pipeline but has managed to arrive at a valuation for Metroglass and Scales.

"I think they will both get up," he said. "IPO businesses are not seasoned in public view. There's a bit of risk there."

Scales, the fruit and vegetables logistics group, is seeking up to $186.5 million in its sale, pitching about 100 million shares at between $1.60 and $1.85 a share. Direct Capital will sell down its 84 percent stake in the sale. Metroglass aims to sell as much as $273 million selling shares in a bookbuild posed in a $1.65 to $1.90 a share range.

The sales have been subject to spin and counterspin as sale managers and institutions push for a favourable price. It has been widely reported that Hirepool withdrew its IPO because institutions wouldn't accept the price. Still, Goodson says institutional fund managers haven't ganged up push the prices lower.

"Now we have got the capability to do some independent work and come up with our views," he said. "We absolutely do not talk to anyone else."

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Keep Digging: Seabed Ironsands Miner TransTasman Tries Again

The first company to attempt to gain a resource consent to mine ironsands from the ocean floor in New Zealand's Exclusive Economic Zone has lodged a new application containing fresh scientific and other evidence it hopes will persuade regulators after their initial application was turned down in 2014. More>>

Wool Pulled: Duvets Sold As ‘Premium Alpaca’ Mostly Sheep’s Wool

Rotorua business Budge Collection Limited (Budge) and sole director, Sun Dong Kim, were convicted and fined a total of $71,250 in Auckland District Court after each pleading guilty to four charges of misrepresenting how much alpaca fibre was in their duvets. More>>

Reserve Bank: Labour Calls For Monetary Policy To Expand Goals

Labour's comments follow a speech today by RBNZ governor Graeme Wheeler in which Wheeler sought to answer critics who variously say he should stop lowering interest rates, lower them faster, or that inflation-targeting should no longer be the primary goal of the central bank's activities. More>>

ALSO:

BSA Extension And Sunday Morning Ads: Digital Convergence Bill Captures Online Content

Broadcasting Minister Amy Adams has today announced the Government’s plans to update the Broadcasting Act to better reflect today’s converged market... The Government considered four areas as part of its review into content regulation: classification requirements, advertising restrictions, election programming and contestable funding. More>>

ALSO:

March 2017: Commerce Commission Delays Decision On Fairfax-NZME

The Commerce Commission has delayed its decision on the proposed merger between NZME and Fairfax Media's New Zealand assets, saying the deal is complex and it needs more time to assess the impact on both news content and the advertising market. More>>

ALSO:

Plan Plan: Permanent Independent Hearings Panel Proposed For Planning

The Productivity Commission recommends creating a permanent independent hearings panel like the one that cut through local politics to settle Auckland’s Unitary Plan, for the whole country. More>>

ALSO:

Statistics: NZ Jobless Rate Falls To 5.1% Under New Methodology

New Zealand's unemployment rate fell more than expected in the second quarter as Statistics New Zealand adopted a new way of measuring the labour market to bring the country in line with international practices, and while a growing economy continued to support jobs growth. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news