KEY POINTS:
Healthy turnover in blue chip stocks helped boost the sharemarket today, although Auckland International Airport shares fell back on concern a proposed bid may fail.
The benchmark NZSX-50 index closed up 14.75 points, or 0.3 per cent, at 4321.29 on turnover valued at $193.7 million.
Auckland Airport, which yesterday rose 10c on news Dubai Aerospace Enterprise is proposing to spend $2.3 billion for a stake of 51 per cent, lost 2c to 339.
"At this stage there are concerns that the deal is facing resistance at various levels," said Macquarie Equities NZ investment director Arthur Lim, noting the proposal needed 75 per cent shareholder approval.
"We know now that Manukau City Council is objecting to it. If they are able to persuade Auckland City Council to swing behind it, this deal is not going to go through," he said.
Turnover in Auckland Airport totalled 7.2 million shares.
However, there was also strong buying interest from investors hoping that another potential bidder will put an offer on the table, he said.
Top stock Telecom was up 2c at 485, second-ranked Fletcher Building was up 20c at 1300, and Contact Energy rose 7c to 937.
Fisher & Paykel Appliances shed 14c to 365 as the NZ dollar crested 81 US cents. However, the appliance manufacturer and exporter has risen steadily in the last two weeks, undeterred by the currency's strength.
F&P Healthcare was down 2c at 322, Sky City was up 5c at 495, and Sky TV was down 2c at 566.
Tourism Holdings plunged 20c to 250 after news MFS Living and Leisure's takeover attempt had failed to reach 90 per cent.
Air New Zealand was up 5c at 259, TrustPower was up a cent at 861, Vector rose 3c to 267, and Infratil was up 5c at 323.
Mainfreight gained 5c to 755, Freightways was up 2c at 409, Rakon was up 7c at 480, and Port of Tauranga rose 15c to 690.
PGG Wrightson rose 7c to 194 on the back of expectations the dairying sector will continue to prosper, despite the high currency.
Pike River Coal lost 2c to 95, having been issued at $1 and debuted at $1.07 last week. The company said today it had secured an additional $25 million for mine development from NZ Oil and Gas.
"Compared to Australia where a lot of the mining stock IPOs come to the market with a bit of a hiss and a roar, with this one there's definitely an air of disappointment about it," Mr Lim said.
NZOG was flat at 122.
NZX lost 20c to 1150, Guinness Peat was down 2c at 196, Michael Hill lost 8c to 912, and The Warehouse was down 2c at 606.
- NZPA