Aust. consultants set up Auck. second board operation

Press, 31 October 1986, Page 14

Aust. consultants set up Auck. second board operation

PA Wellington Australia’s principal consultancy to second board companies has set up a New Zealand operation to identify opportunities on New Zealand’s new second board market. Melbourne-based Australasian Second Board Consultants Pty, Ltd, this week opened an Auckland office to offer professional independent advice to New Zealand companies seeking second board listing. The company also has offices in Sydney.

The New Zealand operation will be run by a former financial consult-

ing manager of Touche Ross, Ms Helen Peters, and the board of the New Zealand company will comprise the co-founders of ASBC in Australia, Messrs Graeme Little and Carl Wilson, and the managing director of Simplicity Funerals, Ltd, Mr Keith Russell. Mr Little said ASBC decided to expand into New Zealand because of the major opportunities the market offered. He said he was astounded at the enthusiasm shown by New Zealand entrepreneurs to the development of the Stock Exchange.

“In Australia the second board market got off to a relatively slow start with a number of key investors and brokers reluctant to take the market seriously. This is not the case in New Zealand and we’re confident the market here will perform well,” he said.

“The New Zealand second board should gain earlier acceptance due to greater investor awareness and as a result of the successful Australian experience.”

Mr Little said ASBC was not simply a listing vehicle to get companies on to the second board

and that many aspiring listees in Australia had been rejected because their operations did not have the growth potential essential for the development of the market. “We screen poeple who come to us very carefully before recommending second board listing. “We want the right mix of entrepreneurial and marketing skills, and a commitment from the promoters, to ensure that companies we list will be around and performing well in five years’ time. “We don’t want people seeking public equity simply to get their money

out of the company.” Mr Little said operations ideally suited to second board listing were smaller companies with a track record and significant growth potential and recently formed companies comprising executives with a record of success.

Mr Little said ASBC worked actively with clients to assess listing potential, recommend suitable sharebrokers, accountants, lawyers and marketers, package companies for presentation to brokers and key investors and assist in the marketing of public issues.