Sharemarket rises after late start

The sharemarket gained some ground when it finally opened two hours late today, after delays due to telecommunication problems.

Connectivity problems with the stock exchange's telco service provider Telecom delayed the usual 10am start to just after 12 noon today.

Shortly after 12.40pm today the benchmark NZSX-50 gross index was up 2.19 points to 3081.41 while the NZSX-All capital index was up 0.22 points at 972.01.

Hamilton, Hindin, Greene broker Grant Williamson said while the delay was frustrating for brokers who wanted to transact, he was not too concerned that retail investors would lose confidence in the exchange.

"I think the exchange do the right thing in that they don't open the market until everything is in order. I think that's where investors and brokers should have confidence that the exchange is working in the best interests of all parties," he said.

He said a Monday morning was probably the best time for anything to go wrong because there was no overseas activity. Today was going to be quieter than usual anyway due to the closure Australian market for its Queen's Birthday public holiday.

A Telecom network failure also led NZX to shut down the market for about an hour on January 28.

When the market reopened today, Telecom fell 1c to 595.

Retailer Briscoe was unchanged at 122, after it walked away from a conditional deal to buy Stirling Sports, because not enough franchisees had signed up to a new franchise agreement. Briscoe said it would now concentrate on expanding its Rebel Sport chain.

Abano Healthcare Group was also unchanged at 175, after it said it's diagnostic sector, Abano Diagnostics, was in merger talks with Sonic Healthcare's Hutt Valley-based community practice.

New Zealand Oil & Gas fell 1c to 86c. On Friday the company relinquished its licence for the Managatoa prospect, offshore Taranaki, after it failed to attract additional partners for the venture.

* Note - Turnover and stock movement numbers are unavailable today because of the late market opening.

- NZPA