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


MARKET CLOSE: NZ share rise; Telecom paces gainers on UFB

MARKET CLOSE: NZ share rise; Telecom paces gainers on UFB announcement

By Jason Krupp

Dec. 13 (BusinessDesk) - New Zealand stocks rose with Telecom Corp. accounting for much of the activity on the exchange today after it was tipped as one of the prioritised bidders to build government's ultrafast broadband network.

The NZX 50 Index rose 18.37 points, or 0.6%, to 3,291.28. Within the index, 28 stocks rose, eight fell and 14 were unchanged. Turnover was $59.3 million.

Telecom, the country's biggest telephone company, rose 1% to $2.10, after Crown Fibre Holdings earmarked it as a forerunner for the rollout of broadband infrastructure in 25 regions, including the all-important Auckland market after earlier missing out on the first round of prioritised bids.

Enabled Networks was selected as the lead bidder for Christchurch and Rangiora, while Flute JV represented by Aurora Energy Ltd. will cover Dunedin. Northland and Central North Island areas were already awarded to Ultrafast Fibre Ltd. and Northpower Ltd. last week.

"It is a net positive but the market had been expecting this kind of announcement, so the response has been reasonably muted," said Craig Brown, who helps manage $1.1 billion in equities for One Path New Zealand. "If they didn't get it we would have seen a much bigger reaction."

Vector Ltd., the country's largest listed network utility company competing Telecom for the Auckland UFB tender, fell 2.5% to $2.35 after it missed be selected as a prioritised bidder.

Pumpkin Patch Ltd., the children's clothing retailer, rose 5.5% to $1.75, leading gainers on the NZX 50. Rakon Ltd, the maker of crystal oscillators used in cellphones and GPS units, rose 1.7% to $1.20, and Westpac Banking Corp., the Australian lender, rose 2.2% to $30.20.

Auckland International Airport Ltd. rose 1.5% to $2.10 after the country's busiest gateway added another international route to its list of destinations with confirmation that China Southern Airlines will start flights to Auckland from Guangzhou via Melbourne in April.

Sanford Ltd., the fisheries group, fell 2.8% to $4.60, leading decliners on the index.

New Zealand Oil & Gas Ltd., the energy exploration and production company that owns a 19% stake in Pike River Coal Ltd., fell 2.3% to 87 cents after announced that has place Pike in receivership following series of explosions at its West Coast that killed 29 and shut production. The announcement saw trading in Pike River suspended until further notice.

"No doubt there is a good coal seam in there, now the issue is of course how much to get it out and who is going to front up with that," Brown said.

Bathurst Resources Ltd., which is looking to establish a series of coalmines on the West Coast, rose 2.2% to 92 cents.

New Zealand Farming Systems Uruguay Ltd., the South American dairy operator bought out by Singapore’s Olam International Ltd., was unchanged at 58 cents after chief executive Alastair de Raadt said he will not renew his contract when it expires on Jan. 31 next year. De Raadt, who was already based in Uruguay, was appointed in September.


© Scoop Media

Business Headlines | Sci-Tech Headlines


RNZ: Porirua Most Expensive Region To Rent, According To Trade Me

A rental website shows this town is now New Zealand's most expensive region to rent a house, ahead of Wellington and Auckland cities. More>>


Stats NZ: Nearly 1,000 More Big Businesses Now Than Two Decades Ago – Media Release

There are now 2,690 big businesses in New Zealand employing more than 100 staff – nearly 1,000 or 58 percent more than 20 years ago, Stats NZ said today. Over the 20 years to February 2020, the total number of enterprises in New Zealand increased ... More>>


RNZ: Housing Boom Could Get Worse, Economist Warns

Economists are calling on the Reserve Bank to reinstate lending restrictions, warning the housing market is spiralling out of control. More>>


Westpac: Sets Out Plan To Go Cheque-Free

Westpac NZ has announced details of its plan to phase out cheques, after signalling in May that it would be supporting a move to other forms of payment. Cheques will cease to be available as a means of payment after 25 June 2021. Westpac NZ General ... More>>


NZTA: Major New Zealand Upgrade Programme Projects Go To Tender

Two major New Zealand Upgrade Programme projects are beginning tenders for construction. The New Zealand Upgrade Programme is a $6.8 billion investment to get our cities moving, to save lives and boost productivity in growth areas. The first Auckland ... More>>

Reserve Bank: RBNZ Seeks To Preserve Benefits Of Cash

The Reserve Bank – Te Pūtea Matua is taking on a new role of steward of the cash system “to preserve the benefits of cash for all who need them”, Assistant Governor Christian Hawkesby told the Royal Numismatics Society of New Zealand annual conference ... More>>


CERT NZ: Malicious Computer Virus Targeting New Zealanders

CERT NZ, the government agency which supports organisations and individuals affected by cyber security incidents, says a recent surge of increasingly sophisticated malware attacks is affecting everyday New Zealanders as well as large organisations. The ... More>>


Economy: NZ Small Business Recovery Continues In September

Xero, the global small business platform, today released its Small Business Insights (XSBI) for September revealing an uptick in small business jobs and year-on-year revenue growth in New Zealand. Nationwide, the average number of jobs in the small ... More>>


Courts: Businessman Eric Watson Sentenced To A Four-Month Jail Term

New Zealand businessman Eric Watson has been sentenced to a four-month jail term in the UK for contempt of court, TVNZ reports. More>>

OECD: Area Employment Rate Falls By 4.0 Percentage Points, To 64.6% In Second Quarter Of 2020

The OECD area employment rate – the share of the working-age population with jobs – fell by 4.0 percentage points, to 64.6%, in the second quarter of 2020, its lowest level since the fourth quarter of 2010. Across the OECD area, 560 million persons ... More>>

Spark: Turns On 5G In Auckland And Offers A Glimpse Into The Future Of Smart Cities

Spark turned on 5G in downtown Auckland today and has partnered with Auckland Transport (AT) to showcase some of the latest in IoT (Internet of Things) technology and demonstrate what the future could look like for Auckland’s CBD with the power of 5G. 5G is ... More>>

Stats NZ: Monthly Migration Remains Low

Since the border closed in late-March 2020, net migration has averaged about 300 a month, Stats NZ said today. In the five months from April to August 2020, overall net migration was provisionally estimated at 1,700. This was made up of a net gain ... More>>