You are using an older browser version. Please use a supported version for the best MSN experience.

Comvita gains as honey definition mooted

NZ Newswire logoNZ Newswire 11/04/2017 Jonathan Underhill

New Zealand shares rose on Tuesday, with Comvita recovering some ground after last week's slump as the government proposed a definition of manuka honey.

Tourism Holdings, SkyCity Entertainment Group and Arvida Group were among leading gainers.

The S&P/NZX 50 Index rose 15.52 points, or 0.2 per cent, to 7254.38. Within the index, 31 stocks gained, 10 fell and nine were unchanged.

Turnover was $139 million, of which $31 million was trading in Spark New Zealand shares.

The benchmark index reached a six-month high last week but has since slipped back to trade in a relatively narrow range.

The market "is still bouncing along on relatively high multiples in general terms," said David Price, a broker at Forsyth Barr.

"It's going to need a boost from earnings and probably a bit better than what we saw" in the latest round of results.

Comvita climbed 3.8 per cent to $7.40, having tumbled from $8.60 last week after the manuka honey products company warned it would post an operational loss this year due to weaker-than-expected trading and a poor season for the honey harvest in New Zealand.

On Tuesday, the Ministry for Primary Industries released a scientific definition of manuka honey, involving four chemicals and a DNA marker, as part of a consultation package on honey exports, saying authentication was "essential to maintaining New Zealand manuka honey's premium position in overseas markets."

SkyCity rose 1.8 per cent to $4.46 while Arvida Group, the retirement village and aged care facilities operator, rose 1.6 per cent to $1.28.

Opus International Consultants rose 1 per cent to 97 cents after the engineering consultancy told shareholders at their annual meeting that it is seeing the benefits of its new business strategy.

Spark was the biggest decliner of the NZX 50, falling 2.9 per cent to $3.50 as 8.7 million shares changed hands.

image beaconimage beaconimage beacon