Port of Tauranga (NZX: POT) shares have slipped to their lowest level since July, as the market continues to react to a subsidiary company’s logging contract loss.
Yesterday, the listed company – which is 55%-controlled by Bay of Plenty Regional Council – announced subsidiary Quality Marshalling had lost a major log marshalling contract.
Port of Tauranga chief financial officer Steve Gray told NBR ONLINE it knew of the potential loss of contracts when it acquired Quality Marshalling last year.
Yesterday, the company’s share price had dropped 2.9% and by 1pm today it had dropped a further 2.9% to $14.
The last time Port of Tauranga shares were below $14 was July 9.
The company also disclosed in recent days its executives have been buying shares after last month’s record result: chief executive Mark Cairns bought 18,286 shares for $267,000; corporate services manager Sara Lunam bought 7500 shares for $109,500 and commercial manager Graeme Marshall bought 7210 shares for $104,000.
The average price was $14.58.
If the trio bought the shares at this afternoon’s price of $14 they would have collectively saved almost $20,000.