Pushpay dragged down by Oz peers
Sky TV’s annual meeting was the major focus
New Zealand shares fell, led by Pushpay Holdings, as the payments app developer got dragged down by pessimistic analyst reports on ASX software firms Wisetech Global and Afterpay.
The S&P/NZX 50 index declined 36.78 points, or 0.3 per cent, to 11,141.86. Within the index, 22 stocks fell, 20 rose, and eight were unchanged. Turnover was $106.6 million.
Pushpay led the market lower, down 3.1 per cent at $3.15 on a volume of 1.5 million shares, more than twice its 90-day average of 620,000. Investor sentiment for transtasman software firms soured after J Capital Research issued a report questioning WiseTech’s growth. On Wednesday, UBS researchers started covering Afterpay and issued a “sell” rating due to the threat of regulation.
WiseTech was down 10.2 per cent at A$30 before trading was halted, while Afterpay was down 5.7 per cent at A$31.985 in afternoon trading. Domestically, Sky Network
Television’s annual meeting was the major focus, with shareholders signing off on plans to secure New Zealand Rugby’s broadcasting rights and allowing the equity component of the up to US$40 million RugbyPass acquisition. However, chief executive Martin Stewart’s share rights issue faced stiff opposition, with 25.6 per cent opposed.
Grant Davies, an investment adviser at Hamilton Hindin Greene, said Sky needed to secure the rugby rights and shareholders “pulled the trigger”.
“At the end of the day, shareholders were well aware that enabling Sky to pay for those rights was a necessity,” he said.
The pay-TV operator’s shares were again the most traded stock, with 3.2 million shares changing hands, more than its 1.1 million average. They were unchanged at $1.07.
Spark New Zealand, which has been aggressively competing for sports broadcasting rights, fell 2.3 per cent to $4.44 on a volume of 1.5 million shares, less than half its 3.1 million average. Meridian Energy rose 1.2 per cent to $5.40 after updating shareholders at its annual meeting, in chair Chris Moller’s swansong. SkyCity Entertainment Group
declined 1 per cent to $3.93 ahead of today’s annual meeting. Davies said the update will give a good steer on how the company has performed given the notes of caution about the economic outlook when the firm reported its annual result in August. The casino operator yesterday hosed down union claims about the number of jobs that might go due to the delayed opening of the international convention centre. Fletcher Building, which is building the convention centre, rose 3 per cent to $4.84 on a volume of 1.7 million shares. Trustpower posted the day’s biggest gain, up 3.3 per cent at $8.48 on a small volume of 70,000 shares. Kathmandu Holdings rose 1.6 per cent to $3.18 with just 97,000 shares changing hands. The retailer’s shareholders will meet today to vote on whether to approve the $368m Rip Curl acquisition.
Of other stocks trading on volumes of more than a million shares, Contact Energy fell 1.4 per cent to $8.55, and Kiwi Property Group was down
0.3 per cent at $1.665. Outside the benchmark index,
Comvita increased 3.8 per cent to $3.30 in light trading of 9000 shares, after holding its annual meeting. After trading closed, Augusta
Capital appointed two independent directors — Fiona Oliver and Jonathan Ross — to its board. The shares rose 2 per cent to $1.56.