My Food Bag shares have continued to fall below the IPO price of $1.85
My Food Bag shares have continued to fall below the IPO price of $1.85
THE INSIDER
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What Food Bag?
Investment research company Shareclarity has suspended coverage of My Food Bag just hours after valuing the newly listed stock at $1.32, a steep discount to its $1.85 offer price.
The independentresearcher's valuation was included in a email sent to Jarden Securities Direct clients on Thursday in a regular newsletter, which included insights from Shareclarity.
Jarden Securities acted as a joint lead manager in My Food Bag's initial public offer, along with Craigs Investment Partners and Forsyth Barr.
Approached by the Herald for comment, Jarden said: "The My Food Bag valuation included within this newsletter was Shareclarity's valuation, and not the view of Jarden or its research team.
"Jarden is in advanced negotiations to invest in Shareclarity," it said.
"On that basis, we questioned whether Jarden's policies and processes should apply to Shareclarity's valuations.
"Due to this, we agreed with Shareclarity to suspend coverage of My Food Bag while we work through this," the broker said.
Shares in My Food Bag have struggled to perform since listing on March 5 after raising $342 million through the IPO.
In its report, Shareclarity said My Food Bag has grown revenues by 1.5 per cent a year since 2019 - a slower rate than some of its global peers such as Germany's Hello Fresh.
"That said, Shareclarity believes its share price could be justified if it can maintain its margins and keep growing at a slightly faster rate," the report said.
"When Shareclarity values a company, it looks at future cash flows and for My Food Bag, this comes down to the number of food boxes it sells and the margin it makes on each box," it said.
"In other words, My Food Bag will want to maximise price and minimise cost, without losing customers."
The stock last traded at $1.54.
2degrees of separation
No matter which way you cut it Mat Bolland was going to have a big year.
He leaves 2degrees to a newly created role at Air New Zealand as corporate affairs, regulatory affairs and PR supremo at a critical time for both companies.
He's been at the telco for 11 years and leaves as it explores a partial public listing on the NZX and ASX in the second half of this year.
Air New Zealand faces a critical year as it is due soon to detail its capital raise as it battles back from its Covid slump, will do more international flying, nurtures its relationship with the Government and faces lingering anger from victims of its handling of refunds and credits.
A looming law change that will bring New Zealand into line with many other countries on airline refunds will attract Bolland's attention also.
Bolland will be on the airline's much transformed executive and airline boss Greg Foran says he will be an ''outstanding'' addition at a time of growth and recovery for the airline.
Bolland has had a corporate affairs career of more than 20 years, which has included a brief stint at Watercare and at TelstraClear and 2degrees.
He's currently general manager corporate and regulatory affairs at 2degrees where he is responsible for government relations, regulatory and public policy, corporate communications and public relations.
This will be replicated at the airline.
"By bringing our government relations, regional, cultural and regulatory affairs, and communications functions into one team under Mat, the airline will be well placed to strengthen those key stakeholder relationships which have never been more important. I know Mat is going to make a terrific contribution to shaping our future business for the benefit of all stakeholders,'' said Foran.
The appointment is the latest in a shakeup of the airline's executive in the past year, accelerated by the pandemic which led to a wave of high profile exits.
In May last year the exit of networks and alliances officer Nick Judd, chief air operations and people safety officer John Whittaker and chief marketing and customer officer Mike Tod were announced. Chief revenue office Cam Wallace has gone and chief financial officer Jeff McDowall will leave this year.
Jennifer Sepull, chief digital officer is returning to the United States for family reasons.
Top dollar
If you thought Auckland residential rents were high, think again.
Business Insider understands one lucky punter hit the jackpot over the summer, renting his inner city property to none other than Ineos Team UK helmsman Sir Ben Ainslie.
The price tag? A cool $10,000 a week, according to a person familiar with the matter.
Sir Ben Ainslie of Great Britain's INEOS Team UK
Bankrolled by the UK's fifth richest person Jim Ratcliffe, Ineos Team UK fell short of challenging the America's Cup.
However, the team has been confirmed the next challenger of record and there's every chance of returning to Auckland for the next America's Cup.
