DNZ boss Duffy cashes in at share price peak with $1.65m sale

DNZ Property Fund chief executive Paul Duffy sold 9.9 percent of his stake in the property investor worth $1.65 million, cashing in as the share price tests record highs since listing two years ago.

Mr Duffy sold 964,150 shares at an average price of about $1.625 last week, netting him $1.57 million, having sold 50,000 shares for $79,250, or $1.585 a share, in November, according to disclosure statements lodged with the NZX.

DNZ shares have traded as high as $1.65 intraday, though the $1.625 price Mr Duffy sold at is its highest closing price. The stock has climbed 68 percent since switching its listing to the NZX from the Unlisted platform in August 2010.

The shares rose 0.3 percent to $1.625 today, a 7 percent premium to DNZ's net tangible asset value of $1.518. They are rated an average "hold" based on five analyst recommendations compiled by Reuters, with a median target price of $1.67.

The sale leaves Mr Duffy's interests with 9.2 million shares in DNZ, or 3.7 percent of the property investor, based on shareholder notices filed to the Companies Office. That is worth almost $15 million at the current price.

The property investor had to abort its first attempt to list on the stock exchange after activist shareholders led by NZ Funds blocked the proposed buyout of the management contract with Mr Duffy and Alastair Hassell.

Shareholders eventually agreed to a deal that gave Messrs Duffy and Hassell $35 million in cash and shares.

Mr Duffy took just eight months to get the DNZ share price above three targets that granted him 2.7 million options for bonus shares, which have since been exercised.

In the 2012 financial year, he drew total remuneration of $829,285, made up of his $650,000 salary, $46,035 in KiwiSaver and benefits and $133,250 from his accrued bonus.

(BusinessDesk)


Got a question about this story? Leave it in Comments & Questions below.

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

Comments & Questions

Commenter icon key: Subscriber Verified

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 0.6952 0.0000 0.00%
AUD 0.8901 0.0000 0.00%
EUR 0.5907 0.0000 0.00%
GBP 0.5276 0.0000 0.00%
HKD 5.4294 0.0000 0.00%
JPY 78.9230 0.0000 0.00%

Commods

Commodity Price Change Time
Gold Index 1278.6 -9.430 2017-10-20T00:
Oil Brent 57.8 0.550 2017-10-20T00:
Oil Nymex 51.9 0.580 2017-10-20T00:
Silver Index 17.0 -0.215 2017-10-20T00:

Indices

Symbol Open High Last %
NZX 50 8124.1 8142.3 8124.1 0.07%
NASDAQ 6633.4 6640.0 6605.1 0.36%
DAX 13057.8 13063.6 12990.1 0.01%
DJI 23205.2 23328.8 23163.0 0.71%
FTSE 7523.0 7560.0 7523.0 0.00%
HKSE 28360.0 28519.8 28159.1 1.17%
NI225 21391.0 21489.3 21448.5 0.04%
ASX 5896.1 5924.9 5896.1 0.17%