<i>NZ stocks:</i> Top 50 index moves higher on slight Telecom rise

14 Jun, 2004 12:43 AM2 mins to read

12.45pm

The sharemarket's top 50 index pulled into positive territory in morning trade as shares leading stock Telecom moved higher on news of a $62.5 million deal, a broker said.

At 10am, the benchmark NZSX-50 index was down up 5.40 points at 2618.47, while the NZSX-All capital index was down 1.30 points at 877.28.

Among the 112 stocks traded so far this morning were 27 rises and 38 falls, which contributed to the market's $17.7 million turnover.

Telecom today confirmed a $62.5 million conditional deal to buy systems integrator Gen-i from Cullen Investments, which is part of the Eric Watson empire.

Telecom said the Gen-i deal -- which it hoped to tie up this month -- would complement its existing IT communications.

At 11.30am, shares in Telecom shares were up 1c at 562, having traded $8.2 million worth.

An Auckland broker said the market had hardly reacted to Telecom's announcement.

"The market's been firm this morning, albeit on low turnover," he told NZPA today.

Among the other news was PPCS' takeover bid for the balance of shares it does not own in meat processor Richmond.

PPCS, which currently owns 63 per cent of Richmond, said it would offer $3.11 a share, conditional on it achieving 90 per cent acceptance.

"I think that's been expected for a while," the broker said, noting Richmond's shares were placed on a trading halt this morning.

They last traded at 268.

Meanwhile, Fisher & Paykel Healthcare went ex-dividend at 28 cents, its shares down 22c at 1300.

"That's a good price given they've gone ex-div," the broker said, pointing to a similarly promising rise of 6c to 455 in F&P Appliances shares.

Australia based APN News & Media said it planned to list its shares on NZX on June 21.

Other stocks on the move included: Auckland International Airport up 4c at 667, Dorchester down 20c at 255, Infratil down 3c at 287, Michael Hill International up 3c at 583, NZ Refining up 15c at 1920, Sanford down 16c at 450, and TrustPower down 4c at 416.

- NZPA