Billionaire James Packer makes $A5m on Trade Me

James Packer
Trade Me NZX performance since IPO (S&P Capital IQ; click to zoom)

Free audio stream, including stories that are padlocked on our site. Listen on any device, anywhere. Updated twice daily. The audio stream takes several seconds to start on Android devices.

Launch Radio player

BUSINESSDESK: Ellerston Capital, a fund manager controlled by Australian billionaire James Packer’s family interests, has emerged as a substantial holder of shares in New Zealand online auction site Trade Me.

Sydney-based Ellerston, set up in 2004 by the Packer family's holding company, Consolidated Media Holdings, owns 5.18% of Trade Me, according to a substantial security holder notice to the NZX.

Ellerston bought the shares in 19 separate transactions between April and August at an average share price of $A2.73, according to the notice.

At today's ASX price of $A2.97, Mr Packer's 20.5 million shares would have appreciated $A4.9 million.

Dual-listed Trade Me went public in December last year when Fairfax Media sold down its holding to raise funds to support its publishing operations.

The stock was unchanged today (NZX: TME) at $3.87 and is rated a "hold" based on the consensus of eight recommendations compiled by Reuters. Analysts have a price target of $3.86 for the shares.

James Packer inherited the family company in 2005 after the death of his father, Australian businessman Kerry Packer.

His investments include shares in various gaming and entertainment groups, including Melbourne's Crown Entertainment Complex, Macau's City of Dreams, Seven Network and Australia's pay television network, Foxtel.

Fairfax Media acquired Trade Me for $750 million in 2006. It reduced its stake via last year’s initial public offering and in June, sold down its holding in the Wellington-based company by 15% at a discounted price of $A2.70 a share.

That leaves 51% of Trade Me's stock in Fairfax hands.


This article is tagged with the following keywords. Find out more about MyNBR Tags

2 Comments & Questions

Commenter icon key: Subscriber Verified

Great place to pick up the Fairfax overhang...
When is trademe opening online gambling?

Reply
Share
  • 0
  • 0

Trademe digital Bingo hall - would do well! A one stop pawn shop/pokies rolled up into one. Sell the family silver - make $5 bucks... then hit the "I'm feeling lucky" button - and lose the lot.

Reply
Share
  • 0
  • 0

Post New comment or question

Plain text

  • No HTML tags allowed.
  • Web page addresses and e-mail addresses turn into links automatically.
  • Lines and paragraphs break automatically.

NZ Market Snapshot

Forex

Sym Price Change
USD 0.7680 0.0000 0.00%
AUD 0.9866 0.0000 0.00%
EUR 0.7101 0.0000 0.00%
GBP 0.5130 0.0000 0.00%
HKD 5.9663 0.0000 0.00%
JPY 91.3140 0.0000 0.00%

Commods

Commodity Price Change Time
Gold Index 1202.7 5.690 2015-04-17T00:
Oil Brent 63.5 1.740 2015-04-17T00:
Oil Nymex 55.7 -1.000 2015-04-17T00:
Silver Index 16.2 -0.050 2015-04-17T00:

Indices

Symbol Open High Last %
NZX 50 5881.8 5884.7 5881.8 -0.34%
NASDAQ 4966.1 4974.1 5007.8 -1.52%
DAX 11942.4 12019.8 11998.9 -2.58%
DJI 18102.6 18102.6 18105.8 -1.54%
FTSE 7060.4 7093.5 7060.4 -0.93%
HKSE 27808.2 27969.4 27739.7 -0.31%
NI225 19810.4 19815.2 19885.8 -1.17%