NZX monthly trading doubles in volatile August
By Paul McBeth
Sept. 5 (BusinessDesk) – The volume of trading doubled on the NZX Ltd.’s exchange in August, a month when global market volatility was heightened by Standard & Poor’s downgrade to America’s credit rating.
The total number of trades rose more than 100% to 85,992 last month compared to the same month a year ago, the bourse operator said in a statement. The average number of daily trades was 3,739, a 92% gain on August 2010, for an average turnover of $115 million, up 45%.
Equity transactions led the way, with 82,504 trades, up 111% from a year ago for a total value of $2.6 billion, while debt transactions fell 7.4% to 3,488 for a total value of $76 million.
Total equity capitalisation, which includes the NZX’s small-cap NZAX market, was $56.9 billion at the end of August, up 11% from a year ago, but down from $57.3 billion in July.
A total of $56 million of new equity was raised on the NZX in August, taking the year-to-date total to $1.27 billion. Some $151 million of new debt was raised, for a year-to-date total of $612 million.
The number of listed equity securities fell 5% to 170 in August from a year earlier, while debt securities fell 5.2% to 109.
Eco-light bulb manufacturer Energy Mad Ltd. is trying to raise $6 million in an initial public offering, and is expected to list on Oct. 3. Retirement village operators Vision Senior Living and Summerset are rumoured to list this year, and Fairfax Media Group has flagged it will sell a partial stake in online auction site Trade Me Ltd. this year.
Shares in NZX were unchanged at $2.35 in trading today, and have gained almost 54% this year.