Roy basically built the Mary Potter Hospice in Lower Hutt.
The Mckenzie family were very down to earth people and never made much of all the good work they did
Anybody remember the old McKenzies department stores?
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Roy basically built the Mary Potter Hospice in Lower Hutt.
The Mckenzie family were very down to earth people and never made much of all the good work they did
Anybody remember the old McKenzies department stores?
First half report and related media release.
Media release relating to second half performance.
Chair and management addresses at annual shareholders' meeting.
The half year profit announcement and dividend announced yesterday was a good step forward. Rangatira_Investments_Half_Year_Result_to_30_Sept_ 2020.pdf (usx.co.nz)
RNG is missing a trading business producing high profit levels (as they had previously with Hellers). The change in the investment portfolio has lead to a lack of tax payments which has impacted on their ability to fully impute dividends, however as a big chunk of the company is owned by McKenzie charities I guess thus is less of a concern to them.
The listed investments disclosed at 31 March 2020 included sizeable holdings in IFT, MCY, MEL, FPH, CEN, MFT, EBO, GNE and TPW. In addition to the gain reported on public investments in the six months to 30 September, RNG will have continued their good run on these holdings in the 10 weeks since (assuming they still hold them).
Partners Life (5% owned by Rangatira) has agreed to purchase BNZ’s Life business for $290m:
http://nzx-prod-s7fsd7f98s.s3-websit...171/337583.pdf
Presumably this materially expands Partners Life business and helps build the scale to justify a NZX listing.
How have they performed for you Southern Lad.Very illiquid but with a 7% yield thats sustainable?
Share price has been flat the couple of years I have been in. As you point out dividend yield is better than average. Large charitable sector shareholding’s presumably encourages a steady dividend payout. Rangatira provides access to a range of smaller NZ trading businesses that not otherwise easily accessible via a listed vehicle. Good track record of capital uplift through their trading business investments.
Liquidity is an issue, but there is volume available from time to time. A case of moving quickly if you see them.
Business Description
RANGATIRA is a diversified investment company with assets over $200m. Established in 1937, Rangatira's portfolio is focused on middle-market private equity investments, complemented by investments in a range of publicly listed companies. Rangatira's private equity investments target established middle-market companies with good long-term growth potential. Rangatira has two types of shares, an A and a B, with B class voting rights restricted to matters directly affecting B share rights. Rangatira is 51% owned by the J R McKenzie Trust with other community and charitable organisations owning around another 15%. These holdings by charitable organisations consist mainly of B shares. Rangatira aims to add value to its private equity investments by actively contributing at management and board level, recognising the need to combine high standards of governance with sound management, effective capital allocation and a clear focus on growth and profitability. Rangatira's mission is to increase both the capital value of its shares and the dividends paid to shareholders.
Thanks guys.
There has been a seller of Rangatira A shares at $12.25 listed all day today and a few trades as the availability of this tightly held stock a price that is a the low end of the recent trading range has attracted a few buyers.
Interestingly there has been a buyer listed for Rangatira B shares quoted today also at $12.25. Given the only difference between the A and B shares is that the A shares carry voting rights whereas the B shares don’t, normally the A shares trade for 20 to 50 cents more than the B shares. One wonders why the B share buyer doesn’t change tack and pick up the A shares at the same price they are prepared to pay for the B shares.
The annual result for the year ended 31 March 2021 was pretty positive. The annual report released on Friday notes that the board are currently reviewing the capital structure. The report states:
"In 2020, we began a process to gauge the level of interest amongst shareholders to reviewing our Group structure, with the motivation of ensuring it is fit for purpose for all our shareholders and positions Rangatira for the future. Goals identified through this review are below:
i. To improve the tax efficiency for charitable shareholders, without compromising non-charitable shareholders, in light of charitable shareholders losing the benefit of any imputation credits.
ii. To be easy for investors to understand – we had received feedback that the A and B share structure was not well understood.
iii. To not compromise liquidity for any shareholder group.
iv. To allow for Rangatira to raise further capital in the future, should the supply of good investment opportunities increase. With shareholders requiring a consistent dividend flow, as Rangatira becomes fully invested, to grow Rangatira must recycle existing holdings for new investments, which may not always be in the long-term interest of the Group.
v. A structure that allows for Rangatira to easily move investments between listed, cash, fixed income and private company holdings.
vi. Preserve the intentions outlined in the current Constitution.
We will keep shareholders informed as we progress any proposals for change".
There are some big question here, and it will be interesting to see where the process ends up. Maybe some sort of PIE structure?
Whats so hard to understand the difference between A and B shares? Anyone with half a brain can easily discover that ONLY the A shares can vote for appointment of directors. Otherwise they are pari passus. This system has served the company well over its many years. Its a sticking point no doubt with the wokes at NZX Compliance and the FMA , but none of them have run real companies.
New Zealand Listed and Unlisted portfolio.
2021
NZ$m
2020
NZ$m
Infratil 9.7 5.0
Mercury Energy 6.6 4.3
Meridian 4.0 3.8
Fisher & Paykel Healthcare 3.9 3.7
Contact Energy 3.6 2.7
Mainfreight 3.3 1.7
EBOS Group 2.0 1.5
Spark 1.8 -
Vector 1.6 1.3
Trustpower 1.6 1.4
Genesis Energy 1.5 1.5
Vital Healthcare Property 1.5 -
Ryman Healthcare 1.4 0.9
Arvida 1.1 0.9
Scales Corporation 1.1 1.1
Serko 1.0 0.2
Investore 0.9 -
Oceania Healthcare 0.9 0.4
ikeGPS 0.8 0.4
TIL Logistics 0.8 0.5
Pacific Edge 0.5 0.1
Pushpay 0.5 0.2
a2 Milk 0.3 -
Syft Technologies 0.2 0.1
Tower - 0.1
Total 50.6 31.7