Wilson Neill on road to listing after e-buys

By Chris Hutching

Friday 7th April 2000

Dunedin-based Wilson Neill Corporation's market capitalisation is somewhere between $60 million to $70 million - estimated by its recent share price of 15c to 17c a share.

Chairman Trevor Mason said this meant the company was on target to list on the Stock Exchange in July after it furnished an annual return.

It recently bought two internet-trading companies.

Mr Mason acknowledged the market capitalisation was often out of kilter with a company's asset values but said this was common for technology companies.

Wilson Neill's road from receivership back to market listing involves the purchase of Parnell restaurant and bar Iguacu, valued at $6.6 million but satisfied with the issue of 64 million shares.

Wilson Neill's internet connection is via the purchase of Radionet Ltd and Onthenet Ltd, fledgling companies set up to provide and service wireless products to the business community.

Their purchase is to be satisfied with the issue of 75 million shares. A sale and purchase agreement provides for 25 million of the shares to be issued only after certain profit targets are achieved.

Mr Mason told a special meeting of shareholders last week the company was on track to earn about $1.5 million in the current year and with the inclusion of Iguacu, Radionet and Onthenet, earnings would be in the region of $3.5 million.

The share price continued to trade around 16c.

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