Sharechat Logo

Pushpay jumps 50% in first trade as handful of shares change hands

Thursday 14th August 2014

Text too small?

Shares of Pushpay jumped as much as 50 percent as investors snapped up the handful of shares on offer after the mobile payment app company's compliance listing on the NZX Alternative Index.

The stock rose to $1.50 from its listing price of $1, as 467 of the 50 million on issue changed hands, before slipping to $1.48 in a second trade of 2,033 shares, according to Reuters data. The shares got off to a slow start on its compliance listing, meaning no new funds were raised, with chief executive Chris Heaslip tweeting there weren't any willing sellers, despite an earlier bid of $1.33.

The Auckland-based company raised $9 million in new equity in June among private investors, issuing shares at $1 each and valuing the company at $50 million. The capital raise was underwritten by cornerstone shareholder Christopher and Banks Private Equity, an investment vehicle for the Huljich family. 

According to its listing documents, Pushpay had a $1.6 million loss in the year ended March 31, widening its $561,000 loss from the previous year. Annual sales were $328,000, from $8,000 a year earlier. The company didn't provide prospective earnings, but said to date it had raised over $15.6 million in capital, with $9.6 million cash in the bank at the time of listing.

Last December, Pushpay raised $5.1 million in two tranches, which saw the Huljich family take a 23 percent stake. Established in 2011, Pushpay last year also attracted $1 million in backing from Douglas Kemsley, the Hamilton-based former chairman of internet and cloud services provider Maxnet, and a $253,000 development grant from the government’s Callaghan Innovation Fund.

The company said it intends to migrate to the NZX main board when the stock market operator phases out the alternative index to be replaced by its 'new market'.

Harmos Horton Lusk sponsored the company in its NZAX listing.

 

 

 

 

BusinessDesk.co.nz

  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 falls against Aussie; RBNZ seen as more dovish than RBA
Air NZ CFO named acting chief executive
Waitomo favours more open wholesale fuel contracts
Stable ETS important for Marsden Point
Fletcher directors enjoy pay rise as earnings fall
Steep rate cut aimed at staving off unconventional monetary policy: Hawkesby
Mark Waller to step down as Ebos chair
Nimbys, carparks and the status quo under threat as govt tells big cities: grow up and out
FIRST CUT: Fletcher's annual operating earnings meet guidance
A2 Milk shares fall 15% despite solid result

IRG See IRG research reports