Stocks to watch: Auckland Airport, FBU, PGW, TEL
Stocks to watch: Auckland Airport, Fletcher, Telecom, Wrightson
Dec. 4 (BusinessWire) – The following stocks may be active on the New Zealand exchange after developments since the close of trading yesterday. All prices are in New Zealand dollars unless specified.
Themes of the day: DNZ Property Fund is suspending its plan to sell shares via an initial public offering and list on the NZX, the second IPO to be canned in the past two weeks. The kiwi dollar edged lower.
Auckland International Airport Ltd. (AIA): The country’s major gateway has introduced its new SmartGate system to allow incoming travellers on Australian and New Zealand passports to bypass an identity check by customs. The government initiative is part of a wider programme to make trans-Tasman travel easier and faster. The shares rose 0.5% to $1.87 on the NZX yesterday.
Fletcher Building (FBU): The company that developed Wellington’s Holiday Inn has been put in receivership amid a dispute over a $1.7 million final payment for the construction. The shares fell 3 cents to $7.87 yesterday.
PGG Wrightson (PGW): The shares climbed 6.9% to 62 cents yesterday after news that the U.S. District Court for the South District of New York ruled in favour of Agria Group and its underwriter over allegations it failed to disclose all pertinent information at the time of its IPO in 2007. Agria is Wrightson’s new major shareholder.
Telecom Corp. (TEL): The country’s largest listed phone company will look to recoup about $18.2 million from rival Vodafone New Zealand after the Commerce Commission announced its draft determination for the Telecommunication Service Obligation of $69.7 million this year. Telecom is obliged to provide fixed-line services to commercially non-viable customers and claw back some of the costs from its competitors, though the government is looking to overhaul the regime. The shares edged up 1 cent to $2.47 in trading yesterday.
Warehouse Group (WHS): The biggest retailer on the NZX 50 is preparing for industrial action in the run-up to its busiest season after the breakdown of talks with the National Distribution Union. The shares rose 1% to $4.12 yesterday.