NZ stocks: Baycorp the star performer in firm trade

Debt collection and company information group Baycorp was the star performer on the sharemarket yesterday, its share price surging ahead after it took a 9.9 per cent stake in Australia's Data Advantage.

Baycorp jumped 42c to $13.30 on the news that it had taken the stake at an average price of $A4.64 a share, valuing the holding at about $A45.74 million ($62 million). At one point the stock had risen by 52c to $13.40 - the market's biggest gainer on the day.

The wider sharemarket also rose, the NZSE-40 Capital Index gaining 6.12 points (0.29 per cent) to 2088.18.

Turnover totalled $103.92 million, with rises outnumbering falls 59 to 45.

Greenslades broker David Fergusson said the acquisition was positive for Baycorp. "It gives Baycorp a greater equity stake in Data Advantage and obviously exposes itself to the more diverse revenue streams in Australia in the debt collection business," Mr Fergusson said.

Ord Minnett Securities institutional dealer Ian Waddell said he was not surprised Baycorp had moved to buy into the company at this stage, with a placement of Data Advantage stock to American credit services company Trans Union International scheduled for Monday.

"The price was due to be set on the 11th ... With the price going up of course it means that it is more expensive for them to buy, so I'm not surprised that Baycorp has moved at this early stage," Mr Waddell said.

Elsewhere on the market, Carter Holt Harvey led the market on turnover of 6.6 million shares. Mr Fergusson said the stock had seen active trades from both institutional brokers and retail brokers. However, Carter Holt shares closed unchanged at 178.

Telecom finished the day up 8c to 638, while Fletcher stocks had a steady day. Brierley closed down 2c to 38 after Thursday's announcement of a $US162 million loss for the year to June, compared with a $US33 million profit in the previous year.

Newmarket Property Trust gained 1c to 52 after it announced a significant drop in profit for the year to June 30 of $1.58 million, compared with $7.42 million for the previous year.

Among the tech stocks, Advantage closed 3c higher at 243, while Strathmore and Renaissance both gained 1c to close at 28 and 96 respectively following a rebound on Wall St.

- NZPA