Brokers predict half a dozen main listings over next year

By Nick Stride

Friday 22nd March 2002

Sharebrokers are looking forward to at least half a dozen new companies joining the Stock Exchange's main list after two years of net losses.

Health and safety software company Intaz has already issued a prospectus and is likely to become the first listing since retailer Briscoe Group last December.

Possibles include transport group Freightways, put up for sale by its Australian owner Ausdoc, and New Zealand Dairy Farmers, a half share of which is for sale as part of the Fonterra formation.

Rural products maker Tru Test has said it is investigating a public share offer and listing, as has diversified manufacturer Viking Pacific.

Scott St John, a director of investment bank Credit Suisse First Boston, said he hoped to see between four and six "meaningful" companies - those with free float of $100-150 million or more - join the list over the next 12 months.

"We've seen a lot of buybacks and takeovers over the past few years. We've reached a point where activity is more likely to come from the issuance side."

Mr St John said a large number of companies had already been taken over. Fund managers were no longer willing to let companies go for less than full value.

"The challenge for this industry and the stock exchange, reflected by the new board, is to bring more product into the market," he said.

"The exchange is going to be much more aggressive in the way they market."

Sharebroking and investments review
A demutualised exchange will promote NZ Inc
Back to business for brokers as merger mania recedes
Independence goes not with a bang but a whimper
Sharebrokers become 'wealth managers' as boomers age
The analysts strike back on sell recommendations
What Cullen's wealth tax means for investors
Tower warns of fishhooks in proposed tax

Comments from our readers

No comments yet