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

 

Profitable Future For Abano With New Acquisitions


Profitable Future For Abano With New Acquisitions

Chairman of Abano Healthcare Group, Mr Jim Syme, today confirmed the company’s move into the audiology sector, after shareholders approved the purchase of 70 percent of Bay Audiology, with an option to acquire the remaining 30 percent in 2010, at the annual meeting in Auckland.

Bay Audiology is New Zealand’s largest and only national service provider of a range of specialist audiology services, and will be an important cornerstone business in the Abano portfolio. Settlement is planned for early October 2005.

Mr Syme also confirmed the company was on track to produce positive core profit results in future years. This follows a year of significant change and growth for the company, including the sale of the aged care business, ElderCare, and investment into other less capital intensive healthcare sectors.

“The core financial performance for the six months ending on 30 November 2005 will be well down on last year, as it will exclude returns from the aged care business which was sold on 13 July, one month into the current financial year.

“However, following the additional planned acquisitions of the Orthotic Centre and Bay Audiology in October and returns from our existing businesses, the board remains confident that Abano will achieve a core consolidated, full year result to 31 May 2006, which will exceed last year’s pre-tax profit performance and will allow us to introduce an annual dividend payment for shareholders.”

Managing director, Mr Alan Clarke, provided shareholders with further information on the Group’s recent acquisitions, including the acquisition of 70 percent of Orthotic Centre (NZ) Limited, to be settled in October 2005, and the continuing national rollout of its dental network, Lumino.

“We continually review the healthcare and medical services market, to identify businesses in new and existing sectors to add to our portfolio.

“We believe we now have a strong portfolio which will deliver balanced revenue streams, generate an improving return on investment that will be above our cost of capital and provide consolidated and sustainable bottom line profitability. “

Shareholders agreed to all resolutions, including:

Re-electing Price Waterhouse Coopers as external auditors for the company;

Re-electing Mr Phil Newland to the board;

Electing two new independent directors – Mr Trevor Janes and Mrs Susan Paterson – to the board, following the retirement of Mr Maurice Kidd and Dr Clint Teague

Approving the acquisition of 70 percent of Bay Audiology, with an option to acquire the remaining 30 percent in 2010;

Approving a Long Term Incentive share scheme for key executives;

Approving a new salary package for Mr Alan Clarke; and

Ratifying previous increases in salary for Mr Alan Clarke, over the past five years, which was done to comply with New Zealand Exchange listing rules.

- ends –


© Scoop Media

 
 
 
Business Headlines | Sci-Tech Headlines

 

Paymark: Lockdown Equals Slowdown For Some

The three days of lockdown for Auckland earlier this month made a clear impression on our retail spending figures. While only Auckland moved into Level 3 lockdown, the impact was felt across the country, albeit at different levels. Looking at the ... More>>

Infrastructure Commission: Te Waihanga Releases Report On Water Infrastructure

The New Zealand Infrastructure Commission, Te Waihanga’s latest discussion document highlights the importance of current reforms in the water sector. Its State of Play discussion document about water infrastructure is one of a series looking at the ... More>>

Sci-Tech: Perseverance Rover Lands On Mars – Expert Reaction

NASA has landed a car-sized rover on the red planet to search for signs of past life. The vehicle has more instruments than the four rovers preceding it, and it’s also carrying gear that could help pave the way for human exploration of Mars. The ... More>>

ALSO:


ASB: Quarterly Economic Forecast Predicts OCR Hike As Early As August 2022

Predictions of interest rate rises have been brought forward 12 months in ASB’s latest Quarterly Economic Forecast. Chief Economist Nick Tuffley now expects the RBNZ to begin raising the OCR from its current level of 0.25% as early as August ... More>>

ACT: Matariki Almost A Half Billion Dollar Tax On Business

“Official advice to the Government says an extra public holiday at Matariki could cost almost $450 million,” ACT Leader David Seymour can reveal. “This is a perfect example of the Prime Minister doing what’s popular versus what’s responsible. ... More>>

Genesis: Assessing 6,000 GWh Of Renewable Generation Options For Development By 2025

Genesis is assessing 6,000 GWh of renewable generation options for development after starting a closed RFP process with 11 partners. Those invited to participate offer a range of technologies as Genesis continues to execute its Future-gen strategy to ... More>>

OECD: Unemployment Rate Stable At 6.9% In December 2020, 1.7 Percentage Points Higher Than In February 2020

The OECD area unemployment rate was stable at 6.9% in December 2020, remaining 1.7 percentage points above the level observed in February 2020, before the COVID-19 pandemic hit the labour market. [1] In December, the unemployment rate was also stable ... More>>

Stats NZ: Unemployment Drops To 4.9 Percent As Employment Picks Up

The seasonally adjusted unemployment rate dropped to 4.9 percent in the December 2020 quarter, from 5.3 percent in the September 2020 quarter, Stats NZ said today. Last quarter’s unemployment rate of 5.3 percent followed the largest increase observed ... More>>