NZME starts trading on stock exchange today after 'milestone' listing

Michael Boggs, chief executive of NZME. Photo / Michael Craig

New Zealand media company NZME makes its debut on the NZX today with share trading expected to commence on the "ringing of the bells" at midday.

The NZX listing is a huge milestone for NZME which will join Sky TV as one of only two listed media companies in New Zealand.

Chief executive Michael Boggs says setting up NZME as a standalone listed company will give it more opportunity to prioritise its strategy and investments in tune with local markets - "It is a significant milestone."

Boggs, key executives, board members and advisers will meet at a function to mark the listing at NZME Central in Auckland today. The listing comes after a time of turmoil in global financial markets following the British vote to exit the European Union. The NZ share market's benchmark S&P/NZX 50 closed down 2.3 per cent at 6667.8 on Friday.

Shareholders in NZME owner APN News & Media - which voted to demerge its NZ subsidiary - have been awarded holdings in the NZ-listed company in proportion to their holdings in the Australian parent.

The Commerce Commission is studying an application for the merger of NZME and Fairfax NZ, which is expected to take place later this year assuming authorisation is granted. But the investing public will also be interested in the intentions of APN's current major shareholders - News Ltd, Allan Gray and Perpetual Investments.

Boggs returned on Saturday from a two-week roadshow in Auckland, Wellington, Sydney and Melbourne to apprise current and potential future shareholders about the company's prospects.

NZME owns the Herald and nzherald.co.nz as well as radio stations, and the e-commerce site GrabOne.

Advice to the NZX states that APN shareholders will receive one NZME share for every one APN share held at 7pm (AEST) on the record date June 28, with total securities to be quoted of approximately 196 million ordinary shares.

Boggs earlier said NZME would have the ability to manage its capital and its own investment decisions.

"We can now make the investments or focus on the areas that we think will give a return to our shareholders based on what the customers and audiences in New Zealand want."