Market close: shares fall, led by Sky TV on football rival, Chorus dips

New Zealand shares fell after an online rival to Sky Network Television emerged with the rights to English football and network operator Chorus led a decline in companies sold down by offshore investors.

The NZX 50 Index fell 16.651 points, or 0.4 percent, to 4445.55. Within the index, 21 stocks fell, 17 rose and 12 were unchanged. Turnover was $98.7 million.

Sky TV fell 4.59% to $5.41 after closely held Coliseum Sports Media announced a new service of pay-per-view English Premier League Football. Sky said it had bid for the rights.

"It's showing the emergence of some competition for Sky TV in the local market," says Grant Williamson, a director at Hamilton Hindin Greene.

Overall, "we're still seeing a little bit of foreign selling in the marketplace, particularly in Chorus".

Chorus fell 3.1 percent to $2.49. The stock has a dividend yield of 9.8 percent, making it a favourite for global investors seeking yield, though more recently some have been spooked by the prospects of a weaker kiwi dollar that would trim the value of their holdings.

Telecom fell 1.3 percent to $2.245 and Fletcher Building was down 0.4 percent to $8.26.

Moa Group jumped 7.3 percent to $1.18, recovering most of this week's decline, after rival craft beer maker Tuatara Brewing attracted investment from fund manager Rangatira.

The Wellington-based investor bought 35 percent of Tuatara from its founding shareholders and will help fund expanded capacity at its Kapiti Coast plant.

Energy Mad was unchanged at 37 cents after the energy efficient light bulb maker sold its 20 percent stake in a Chinese joint venture factory for $1.7 million. The Christchurch-based company will keep its preferential supply, payment and exclusivity terms with the factory as part of the agreement.

NZX fell 1.5 percent to $1.31 after its next listing, intelligence security software maker Wynyard Group, was priced near the bottom end of an indicative range of between $1.10 and $1.65 in its bookbuild. Wynyard will raise $65 million at $1.15 a share, with no over-subscriptions.

SLI Systems, the website search engine maker which listed last month, was unchanged at $1.90, accounting software firm Xero gained 1.2 percent to a record-high $15.99, governance app firm Diligent Board Member Services fell 0.4 percent to $7.97 and online auction site Trade Me rose 0.6 percent to $4.75.

Units in the Fonterra Shareholders' Fund fell 0.3 percent to $7.23 after dairy prices rose an average 1.1 percent on a trade-weighted basis to $US4598 a tonne from the last auction a fortnight ago. The total volume of dairy products sold at the latest auction fell to 23,674 tonnes from 24,252 tonnes.

Five companies shed rights to dividend payments, with Comvita down 2.1 percent to $3.73, AWF Group falling 1.7 percent to $2.90, Fisher & Paykel Healthcare unchanged at $3.34 and Methven down 1.6 percent to $1.26. Acurity Health Group fell 2.2 percent to $4.45.

(BusinessDesk)