Ryman Healthcare slumped near a 13-year low as shares of the retirement village operator resumed trading, extending the slide in the S&P/NZX 50 index to six days.
The NZX50 dropped 224.45 points, or 1.8%, to 12,307.27, its worst day so far of 2025. The decline was widespread with 113 stocks declining on the main board, and 26 gaining. Turnover was $230.9 million.
Ryman plunged 29% to $3.08, its lowest close since May 2012, when it resumed trading after the institutional component of its $1 billion capital raising was completed. While above the $3.05 offer price, it was well short of the $3.90 theoretical ex-rights price. Some 7 million shares changed hands today.
Jeremy Simpson, an investment adviser at Hamilton Hindin Greene, said the weak trading update accompanying the capital raising weighed on the company, as did the broadly negative investor sentiment after a selloff in global markets.
“I remember saying 10 months ago they’d be needing a capital raise because they hadn’t managed to close the gap with negative cashflow,” he said.
Fellow retirement village companies joined Ryman lower, having been sold off yesterday so investors could participate in the placement. Oceania Healthcare fell 5.7% to 66 cents and Summerset Group declined 2.3% to $11.72.
Spark New Zealand, another company whose cashflow is in the spotlight, dropped 3.4% to $2.30, its lowest close since December 2013.
A detour
Tourism Holdings declined 6.7% to $1.71 after reporting a 5% decline in underlying first-half earnings and declaring a smaller dividend than analysts had predicted. It delayed providing annual earnings guidance until the June quarter, pointing to the uncertainty for vehicle sales. Travel management software developer Serko dropped 5.5% to $3.45.
Mercury NZ fell 5% to $6.03, after reporting a 3.7% decline in first-half earnings, with its bottom line hit by changes in the fair value of derivatives, pushing it into the red for the first time. Still, it raised its dividend 3% to 9.6 cents per share.
Meridian Energy decreased 0.7% to $5.73 after reaching a deal with the Tiwai Point aluminium smelter operator to reduce production in winter to preserve the security of energy supply.
Hamilton Hindin Greene’s Sullivan said that agreement will ultimately weigh on wholesale electricity prices, and eat into earnings for generators such as Meridian, who sell excess power into the open market.
Comvita fell 6.4% to 73 cents after reporting a first-half loss of $6.5 million, having flagged the weak result earlier this month. The honey products maker said it expects flat sales for the rest of the financial year, but is on track to cut costs by as much as $15 million.
PGG Wrightson declined 3.4% to $2 after the rural services firm resumed dividend payments after reporting a 13% lift in first-half earnings. Primary sector exporters have been buoyed by the weakness in the currency through the past year or so.
The kiwi dollar traded at 57.33 US cents at 5pm in Auckland from 57.43 cents at 7am and down from 57.62 cents yesterday.
Green ledgers
The a2 Milk Co posted the biggest gain on the benchmark index, up 2.6% at $8.61.
Marsden Maritime Holdings surged 61% to $5.22 after a consortium led by Port of Tauranga launched a $5.60 per share takeover bid, valuing the Northport owner at $231.3 million.
Northland Regional Council, which owns almost 54% of the firm, is part of the consortium along with the pre-Treaty settlement vehicle Ngāpuhi Investment Fund, better known as Tupu Tonu. The consortium will pay $108.1 million for the rest of the company they don't already own. Port of Auckland has agreed to sell its 19.9% stake, and Marsden Maritime's board has endorsed the offer made as a scheme of arrangement.
Port of Tauranga decreased 0.2% to $6.62.
Channel Infrastructure fell 3.1% to $1.91. The Marsden Point import terminal port operator welcomed the government’s support for its energy precinct proposal and the prospect of special economic zones to facilitate its vision.
Greenfern Industries was suspended from trading, with a receiver appointed to the medicinal cannabis firm.
Reporting by Paul McBeth. Image from camilo jimenez on Unsplash.
