Investore stags 8.7% on listing

Tuesday 12th July 2016

Shares in Stride Property offshoot Investore Property spiked 8.7 percent from their offer price of $1.49 to $1.62 in the first 20 minutes of the newly listed company's shares commencement of trading on the NZX this morning.

Some 3.26 million shares changed hands in early trading.

Still 19.9 percent-owned by Stride, the Investore float raised $189 million in a bookbuild that priced the shares at the top of end of the range of between $1.37 and $1.49 a share, which saw Stride shareholders issued Investore shares on a one-for-four ratio to give them between 33.4 percent and 38.2 percent of the company.

Proceeds of the float are to assist Investore in the $267 million acquisition of 14 Countdown supermarkets, which will form part of the real estate investor's 39 large format retail properties portfolio.

The Investore float is one of only a handful of initial public offerings to come to the NZX mainboard this year, with NZME demerged from APN News & Media last month to trade on a standalone basis, and the float of the Tegel chicken processing business in May.

Reflecting the divestment, Stride shares traded 16 percent lower this morning at $1.97.

BusinessDesk.co.nz

Comments from our readers

No comments yet