Wrightson names Agria’s Lai as chairman, forecasts lift in operating earnings

Alan Lai
PGW Wrightson 12-month price history (NZX.com)

PGG Wrightson [NZX: PGW], the rural services company controlled by Agria Corp, named the Chinese company's founder Alan Lai (Guanglin Lai) as its new chairman, replacing John Anderson, and forecast a lift in full-year operating earnings.

The Christchurch-based company first flagged the departure of veteran businessman Anderson last month, after he was appointed to steer the company after its 2010 shakeup that followed the arrival of Agria as an investor with fresh equity at a time profits were weak and debt was high.

Agria subsequently lifted its holding to 50.5 percent after a takeover offer that was accepted by then major shareholder Pyne Gould Corp and endorsed by Wrightson's board. It took a $321 million charge against 2013 profit to write of goodwill and posted a decline in operating earnings that reflected last summer's drought.

"Solid progress has been made to the foundations of this business over recent years and the challenge now was to use this strength to improve the performance of the business," Lai said in a statement.

Anderson, in his final speech as chairman, said the company is on track to deliver operating earnings before interest, tax, depreciation and amortisation of $52 million to $56 million this financial year. That would be an increase from the $45.8 million EBITDA reported for 2013.

Shares of Wrightson last traded at 39 cents and have declined 11 percent this year.


1 · 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

1 Comment & Question

Commenter icon key: Subscriber Verified

The market has really lost interest in this company. Lost its way I'm afraid.

  • 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


Sym Price Change
USD 0.7028 0.0026 0.37%
AUD 0.9371 -0.0004 -0.04%
EUR 0.6247 0.0016 0.26%
GBP 0.5412 0.0021 0.39%
HKD 5.4707 0.0200 0.37%
JPY 78.1380 0.4960 0.64%


Commodity Price Change Time
Gold Index 1261.4 13.240 2017-05-22T00:
Oil Brent 54.1 1.370 2017-05-22T00:
Oil Nymex 51.1 1.780 2017-05-22T00:
Silver Index 17.2 0.520 2017-05-22T00:


Symbol Open High Last %
NZX 50 7409.5 7415.8 7409.5 -0.33%
NASDAQ 6098.2 6135.9 6083.7 0.82%
DAX 12597.5 12702.6 12619.5 0.32%
DJI 20867.8 20914.3 20804.8 0.43%
FTSE 7496.3 7521.9 7496.3 0.17%
HKSE 25415.6 25487.0 25391.3 0.05%
NI225 19647.7 19693.0 19678.3 -0.33%
ASX 5771.2 5795.7 5771.2 -0.19%