High-flying Infinity shows $17.8m loss

Infinity Group, a new information technology services business, has made a loss of $17.8 million for the year to June 30.

The company, backed by a group of ex-Brierley executives and other corporate high-flyers, said yesterday that it planned to list on the New Zealand Stock Exchange by next June.

Listing would give it greater access to new capital and the "creation of an acquisition currency."

The loss comes mainly from an $18 million writedown of goodwill from its investments in Madison, Trilogy, Quanta and InfoVista.

The company said that while fair value was paid for those companies, it was appropriate to write off intangible assets in the year of acquisition.

Chief executive Ross Baker said Comtex, Madison and Trilogy would be merged on December 1 to form Infinity Solutions.

Infinity said that its 11 software development and web companies had formed a group that was now among New Zealand's largest information technology companies.

Its staff number more than than 560.

It said revenue was approaching $100 million a year, and that was expected to grow via acquisitions and organic growth.

- NZPA