Shane Solly, portfolio manager with Harbour Asset Management, said the Europeans invested in Ryman three to five years ago and it was a sad way to exit the investment. They had expected more growth from the company.
“The market was aware of the overhang of shares and big cap stocks were sold off to fund the Ryman buying. The management is addressing the issues to make Ryman more profitable but the Europeans lost trust six months ago.”
Solly said the Budget was not surprising for the market, and it was interesting to see The Treasury forecasting the first official cash rate cut in August or September.
ANZ Research said the fiscal reshuffle (in the Budget) was not a game-changer for the economic outlook. “The Budget is just the beginning of what’s likely to be a very challenging few years ahead as the government trades off getting the books in order and delivering key public services and investment.”
Solly said the market has had a healthy correction and recognised the economy is going through a tough winter.
Ebos Group, being removed from the MSCI at the end of the month, was down 78c or 2.16 per cent to $35.32. Fisher and Paykel Healthcare eased 25c to $28.50; Mainfreight declined 85c to $68.75; Summerset decreased 26c or 2.69 per cent to $9.40; and Infratil was down 13c to $10.51.
In the property sector, Stride was down 3c or 2.36 per cent to $1.24; Property for Industry fell 9c or 4.21 per cent to $2.05; Argosy declined 3c or 2.83 per cent to $1.03; and Precinct shed 3c or 2.61 per cent to $1.12.
Skellerup gave up 22c or 5.87 per cent to $3.53; a2 Milk was down 13c to $7.51; Contact Energy declined 15c to $8.80; Ventia Services decreased 10c or 2.6 per cent to $3.75; and Scales Corp shed 9c or 2.7 per cent to $3.24.
The Warehouse was down 5c or 4.27 per cent to $1.12; Tourism Holdings decreased 4c or 2.06 per cent to $1.90; Rakon fell 5c or 5.88 per cent to 80c; and Delegat Group eased 8c or 1.74 per cent to $4.52.
Manuka honey producer Comvita plunged 35c or 18.92 per cent to a 13-year low of $1.50 after telling the market that an offshore party was no longer proceeding with a takeover offer, which represented a significant premium to Comvita’s share price.
Foley Wines rose 7c or 8.43 per cent to 90c; Seeka increased 10c or 4.35 per cent to $2.40; Winton Land gained 6c or 2.94 per cent to $2.10; Synlait Milk improved 2c or 4.49 per cent to 46.5c; Fonterra Shareholders’ Fund was up 6c to $3.89; and Carbon Fund collected 7c or 5.19 per cent to $1.42.
Green Cross Health was down 3c or 2.97 per cent to 98c after reporting steady revenue of $503.91m and a 74 per cent fall in net profit to $11.75m for the year ending March. It is paying a final dividend of 2c a share on June 21.
Green Cross, which owns Unichem, Life Pharmacy and The Doctors, invested in seven medical centres during the year and now has 66 centres and 423,000 enrolled patients, making it the country’s largest general practice network.
Trade Window was up 0.006c or 3.57 per cent to 17.4c after reporting a 26 per cent increase in revenue to $6.18m and a net loss of $8.01m for the year ending March. Annual recurring revenue was up 21 per cent to $6.3m, and it is forecasting revenue of $7.3m-$8.3m for the 2025 financial year.
Recruitment firm Accordant, hit by the slowdown in public service hiring, declined 3c or 6.25 per cent to 45c after reporting a 6.6 per cent decrease in revenue to $212.38m and a net loss of $10m for the year ending March. The company reduced its goodwill by $6.5m.