Zintel to return funds to shareholders, prepares to delist
By Hannah Lynch
Aug. 31 (BusinessDesk) - Zintel Group, the NZAX-listed telecommunications company which sold its subsidiary Cogent in July, will sell the rest of its businesses and pay out shareholders as it prepares to delist from the New Zealand stock exchange.
The Auckland-based company will sell its Commit Services unit and pursue its claim against VeriFone for terminating a New Zealand distribution agreement before winding itself up and delisting, it said in a statement.
"We have achieved good value for shareholders, certainly well in excess of the share price of 22 cents prior to the sale of our Australian business earlier this year,” chairman Nick Gordon said. “At this stage we believe that it is best to return funds to shareholders so they can make their own investment decisions in future."
In March, Zintel returned about 20 cents a share to investors after it sold its Australian toll-free calling business for $15.3 million to Delaware-based j2 Global, more than the Auckland-based company's entire market value.
Zintel shares last traded at 43 cents and have climbed about 300 percent this year.
The company will hold its annual general meeting on Sept. 26.