New Zealand shares rose on Monday, extending the NZX 50 Index's advance this year to more than 14 per cent, as investors welcomed confirmation of SkyCity Entertainment Group's convention centre deal.
The NZX 50 rose 18.86 points, or 0.4 per cent, to a record close of 4671.63. Within the index, 27 stocks rose, 13 fell and 10 were unchanged. Turnover was $124 million.
SkyCity rose 2.3 per cent to $4.50 after the casino and hotel company agreed to develop a $402-million convention centre in Auckland in exchange for being granted increased gambling concessions and a 27-year extension of its Auckland casino licence.
The announcement "has removed the uncertainty of the whole thing," said Grant Williamson, a director at Hamilton Hindin Greene.
Chorus, the network company spin off from Telecom in 2011, rose 1.1 per cent to $2.72, having declined 9 per cent this year. The Wellington-based company said it had increased its total broadband connections to 1.09 million in the three months ended March 31 from 1.08 million at the start of the quarter.
"The market still hasn't got complete confidence in Chorus and the broadband rollout," Mr Williamson said.
Telecom rose 0.7 per cent to $2.705.
Skellerup Holdings gained 2.9 per cent to $1.42, leading the index higher.
Sky Network Television rose 2.4 per cent to $5.59.
Metlifecare rose 2 per cent to $3.58, bringing its gain in the past 12 months to 73 per cent. Larger rival Ryman Healthcare, which posts its full-year earnings this week, edged up about 1 per cent to $6.24. Summerset Group fell 1.6 per cent to $3.
MightyRiverPower, which debuted last Friday, fell 0.4 per cent to $2.61, having gained 4.8 per cent on Friday from its initial public offering price of $2.50. About 25 million shares changes hands, more volume than any stock in the NZX 50.
"A number of institutions are taking some quick profit," Williamson said. "It's early days but it has found a level in the $2.60 to $2.70 area. From now on it comes down to the financial performance."
Kiwi Income Property Trust was unchanged at $1.22 after reporting a 15 per cent fall in annual earnings.
Infratil fell 2 per cent to $2.43, leading declines in utility-related companies ahead of its earnings this week. TrustPower fell 0.7 per cent to $7.50 and Contact Energy declined 0.9 per cent to $5.55. Vector dropped 0.7 per cent to $2.88.
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