Sharechat Logo

Dorchester Pacific sells Direct Broking to ANZ National Bank

Friday 12th May 2006

Text too small?
Dorchester Pacific has agreed to sell its subsidiary Direct Broking to the ANZ National Bank for $5.125 million.

The sale which is conditional on NZX approval and other administrative details is expected to be settled at the end of May.

No jobs are affected at Direct Broking.

Dorchester Pacific interim Chief Executive Mark Simpson says the sale fits with Dorchester's policy of concentrating on those core activities which provide maximum returns for shareholders.

"We have taken Direct Broking as far as we can. It's a fantastic business but it now needs an organisation the size of ANZ National Bank which has the scale and infrastructure to develop it further."

"We purchased Direct Broking in 2000, amalgamated the client book with another broker, added value to the business and it's mature for us now. ANZ National can take it to the next level," Simpson says.

Earlier this week, Dorchester Pacific chairman Barry Graham announced the appointment of Andrew Walker as the company's new chief executive officer from May 30.

"Dorchester Pacific is making some important changes at the moment and Andrew's appointment and the sale of Direct Broking put the company in good shape to move forward," he said.

"While some things are obviously changing, Dorchester will retain its conservative approach and its focus on creating value for its shareholders." Graham said.

Dorchester Pacific will release its 2005-06 annual result later this month.

  General Finance Advertising    

Comments from our readers

No comments yet

Add your comment:
Your name:
Your email:
Not displayed to the public
Comments to Sharechat go through an approval process. Comments which are defamatory, abusive or in some way deemed inappropriate will not be approved. It is allowable to use some form of non-de-plume for your name, however we recommend real email addresses are used. Comments from free email addresses such as Gmail, Yahoo, Hotmail, etc may not be approved.

Related News:

Dorchester lifts Turners Auctions stake to 19.85%; no plans to make offer
Dorchester raises $4.1 million in placement supported by major shareholders
Dorchester investors exercise 134 mln options, major shareholders asked to sell down
Dorchester narrows first-half loss, forecasts FY profit
Dorchester agrees to buy EC Credit for $18.5M in cash, stock and earn-outs
Dorchester rescue plan ups net profit
Dorchester profit boosted by capital reconstruction plan
Dorchester appoints general manager, insurance and lending
Dorchester staves off receivers
Dorchester posts annual loss of $19.1 mill