Sharechat Logo

Vertex papers do the rounds

By Nick Stride

Friday 8th August 2003

Text too small?
Packaging group Vertex is trying to track down the perpetrators of a dirty-tricks campaign apparently aimed at further discrediting the company.

A bundle of documents purporting to be Vertex internal information was last week sent anonymously to The National Business Review and to the New Zealand Shareholders' Association.

Among the documents was a chart with a Vertex logo and figures for first quarter sales and earnings, broken down by division.

Asked to verify that the chart was genuine, managing director Paddy Boyle at first declined to comment. He later said the documents had been obtained illegally, then said some but not all the sales and ebit figures were incorrect.

At the annual meeting on Monday chairman George Gould said the company was meeting its sales and earnings budgets but did not give details.

Shareholders' Association chairman Bruce Sheppard said he had requested a meeting with the company to verify whether the documents were genuine. Depending on the outcome of the meeting, he said, he might send the documents to the Stock Exchange and to the Securities Commission.

The document bundle was accompanied by an unsigned memo stating the author considered he or she had gained all the information asked for and that an invoice (not included in the bundle) was attached.

Vertex has angered investors with two profit forecast downgrades since it floated last July. Investors bought into the float at $2.05 but the shares have fallen as low as $1.10 and were yesterday trading at $1.70.

The market surveillance panel in March found the company had breached listing rule 10.1.1 but took no further action, drawing an angry response from the Stock Exchange.

The Securities Commission in March found Vertex's offer document was likely to mislead investors but the commission is not taking the matter further.

  General Finance Advertising    

Comments from our readers

No comments yet

Add your comment:
Your name:
Your email:
Not displayed to the public
Comment:
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:

NZ dollar drifts lower ahead of central bank talk-fest
PFI cautious about new acquisitions as revaluations boost 1H profit
NZ Steel earnings fall on weaker prices, higher costs
Spat between ihug founder and ex-wife hits High Court
Comcom loses bid to derail Harmoney appeal
NZ gaming industry outlines plan for home-grown 'Angry Birds'
Dairy manufacturers got better prices in June quarter
Service sector activity picks up in July
19th August 2019 Morning Report
Company results, data, Fed to provide clues on recession risk

IRG See IRG research reports