Port of Tauranga's revelation that it has doubts over a proposed merger with Ports of Auckland sent a shock-wave through the market yesterday.
The Tauranga port's share price fell more than 20 cents from $6.10, but had recovered to $6.17 by the close of business.
The dip in
the share price followed comments from Port of Tauranga chairman John Parker on Tuesday to the Business Herald about whether or not the merger should go ahead.
Goldman Sachs analyst Marcus Curley said Parker was looking to put pressure on Ports of Auckland to force it to make a decision about whether it wanted to proceed with the merger.
"It was also a genuine reflection of the uncertainty that sits within the process," he said.
An analyst who did not wish to be named said: "It wasn't so much what he [Parker] said that was a surprise, but the fact that he said it."
Port of Tauranga's doubt over the merger followed Maersk's decision last year to put most of its services though Auckland, at the expense of Tauranga.
Uncertainty about the final terms of the merger has caused volatility in Port of Tauranga's share price.
When the merger was announced on October 11, the share price catapulted from $5.05 to $6.01, with a spike of $6.45 in mid-November.
Auckland Regional Council chairman Mike Lee said none of the stakeholders had any expectation of a quick deal between the ports.
Maersk's decision to run most of its North Island services through Auckland meant it should have a majority stake in the merger, Lee has said.
Observers have speculated that Auckland Regional Holdings and Port of Tauranga's majority owner Environment Bay of Plenty are battling to determine the ultimate ownership of the proposed super-port and this is delaying the process.
Ports of Auckland spokesperson Wayne Thompson and Environment Bay of Plenty chairman John Cronin declined to comment.
