NZX - NZ Exchange

[LaserEyeKiwi]

https://www.nzx.com/instruments/NZX/dividends

Heading for 4th year Dividends at same level - Int 3.0 cps Final 3.1 cps

Anything else other than consistency with little excitement added on top

Still gradually creeping up to the last Cap Raise 1.43 level

Difficult to see this one going to earlier higher levels, unless consistency is the flavour

How's business growth or attrition going ?

How many more listings have departed of recent times ?

Z , Dangerous Goods, PPH possibly in future along with NZO and possibly I have missed some
and more to be added ?

How are newer bolt on businesses likely to be performing post the downturn or in future
- such as wealth management etc ? also factoring in interest rate rises

Money in da bank on interest might soon be edging closer to NZX's static div and yield

They have actually branched out quite a bit recently with partnerships and new markets - the global dairy exchange being the latest example, with plans to introduce a new carbon trading platform as well. Wealth tech finally contributing to gross margin. Funds under management continues to grow via acquisitions and existing funds inflows.

Smartshares is actually I think where the biggest opportunity is on long term basis - low operating costs (its all indexes - no active management) the operating leverage potential there should be sizable. Possibly an eventual spin off opportunity to realize value.

However the disastrous capital raise gives me some doubt about management in terms of shareholder return maximization.

[Sideshow Bob]

https://www.nzx.com/announcements/408578

20 March 2022 – The NZX Board today announced it has withdrawn its endorsement of Rob Hamilton as Chair Elect of the NZX.

Following the announcement of the AUSTRAC proceedings against SkyCity Adelaide in December 2022, the NZX Board has considered Mr Hamilton’s position. After careful consideration, the Board has determined that, in the interests of NZX and noting its position as the operator of New Zealand’s capital markets, it can no longer endorse Mr Hamilton as proposed Chair while the proceedings remain unresolved.

As a result of Mr Hamilton no longer being the proposed successor to the Chair, Mr Hamilton has resigned as an NZX Director with immediate effect to help NZX move forward without any distractions relating to this matter.

Mr Hamilton is a former SkyCity Chief Financial Officer.

James Miller, who was due to retire at the annual shareholder meeting in April, has responsibly agreed to continue in the role as NZX Chair until a new Chair is appointed.
ENDS

[Sideshow Bob]

Maybe more to come out re Sky City??

Seems interesting timing when the last update from SKC was over 5 weeks ago, and Rob Hamilton has been chairman elect since October last year. Then all of a sudden things change and an announcement comes out on a Monday morning....??

[winner69]

Many ‘respected’ people have been / will be tainted by being with casinos in this part of the world …suppose one of the risks of working for companies that run these dens of iniquity

[gbogo]

nzx.com website now only seems to be available from within NZ. VPN required if overseas..

[Davexl]

While briefly chatting about NZX attrition have noted the following:

Cumulative Numbers - YTD

Number of trades Total value traded % of value on-market

9,038,164 $33,802 m 61.5%

-22.6 -9.7% -3.5%

22.6% down in number of trades, especially while % of on-market is going up,
NZX looks like a fast dying exchange to me - very concerning...
Don't know about prior years.

[Balance]

While briefly chatting about NZX attrition have noted the following:

Cumulative Numbers - YTD

Number of trades Total value traded % of value on-market

9,038,164 $33,802 m 61.5%

-22.6 -9.7% -3.5%

22.6% down in number of trades, especially while % of on-market is going up,
NZX looks like a fast dying exchange to me - very concerning...
Don't know about prior years.

Mark Weldon not only plucked the golden goose NZX of all its feathers to bed his nest, he extracted the last golden egg through surgery for himself and rendered the NZX incapable of laying any more golden eggs after that.

And while he was doing that, the NZX directors and the likes of Brian Gaynor praised Mark to high heavens until the stench of his deeds reached high heaven.

[Rep]

To paraphrase an old philosophical chestnut, I'd pose the question... "If a sharesie sell is fulfilled by a sharesie buy, does it make an NZX trade?"
As I understand it, this wouldn't change anything at the NZX listed company's share registry as they don't have records of the individual holders within the master sharesie holding...

NZX liquidity has been an issue for a long time and I can't see anything on horizon changing that.

The ugly truth is that New Zealand is a nation of house flippers with a low propensity for saving/investing leveraged up with overseas funded debt - with what meagre saving in Kiwisaver funds often being parked in global equities or hedge funds that outperform the NZX.

Cost of capital raising locally is far too high so many productive businesses raise money on the ASX or even further offshore (or eventually sell to highest bidder often offshore).

And the profound backlog of neglected infrastructure and infrastructure for growth has limited opportunity for private investment because of government policy and red tape.

The NZX reality is that it sits in a slow moving gyre continuing to head toward the eventual and final destination of irrelevance.

[Lego_Man]

To paraphrase an old philosophical chestnut, I'd pose the question... "If a sharesie sell is fulfilled by a sharesie buy, does it make an NZX trade?"
As I understand it, this wouldn't change anything at the NZX listed company's share registry as they don't have records of the individual holders within the master sharesie holding...

NZX liquidity has been an issue for a long time and I can't see anything on horizon changing that.

The ugly truth is that New Zealand is a nation of house flippers with a low propensity for saving/investing leveraged up with overseas funded debt - with what meagre saving in Kiwisaver funds often being parked in global equities or hedge funds that outperform the NZX.

Cost of capital raising locally is far too high so many productive businesses raise money on the ASX or even further offshore (or eventually sell to highest bidder often offshore).

And the profound backlog of neglected infrastructure and infrastructure for growth has limited opportunity for private investment because of government policy and red tape.

The NZX reality is that it sits in a slow moving gyre continuing to head toward the eventual and final destination of irrelevance.

Sadly you're 100% correct.

Exhibit A - Vulcan Steel, which i think is a really solid Trans Tasman company. Went for a dual listing on IPO, trades absolute pennies on the NZX. All the liquidity is in Aussie, and I bought it there because the NZX depth was a joke. Their NZX listing won't last more than another couple of years i think.

[Davexl]

Sadly you're 100% correct.

Exhibit A - Vulcan Steel, which i think is a really solid Trans Tasman company. Went for a dual listing on IPO, trades absolute pennies on the NZX. All the liquidity is in Aussie, and I bought it there because the NZX depth was a joke. Their NZX listing won't last more than another couple of years i think.

Am also a big fan of Vulcan. Managed to buy a big parcel on NZX, but it's quite volatile on negligible trading volumes.
The only thing that might save me ultimately is the higher number of on-market trades.