The NZX SciTech Index is the first in a series of special interest indices to be developed by NZX. It will include 23 of our top information, biotechnology and industrial technology NZX Listed Issuers, all of whom have a significant business interest in the development and commercialisation of new technologies.
“NZX has identified this sector as an important one to New Zealand and NZX Market investors,” said Geoff Brown, NZX Head of Products. “Until now the sector has been something of a quiet achiever. Many of the companies have gained international recognition in their specialised fields and have many more exciting growth opportunities; NZX wants to help raise awareness of their success.”
The companies that will make up the NZX SciTech Index are:
| A2 Corporation Limited | Pacific Edge Biotechnology Limited |
| BLIS Technologies Limited | Plus SMS Holdings Limited |
| Botry-Zen Limited | Provenco Group Limited |
| Cadmus Technology Limited | Rakon Limited** |
| Comvita Limited | Renaissance Corporation Limited |
| Connexionz Limited | Scott Technology Limited |
| Fisher & Paykel Healthcare Limited | Sealegs Corporation Limited |
| Finzsoft Solutions Limited | Software of Excellence Intl Limited |
| Genesis Research & Development Corporation Limited | Wellington Drive Technologies Limited |
| ICP Biotechnology Limited* | Windflow Technology Limited |
| Livestock Improvement Corporation Limited (NS) | Wool Equities Limited |
| Mooring Systems Limited |
*ICP Biotechnologies Limited’s inclusion is subject to completion of the listing process
**Rakon has a proposed NZSX IPO date of 16 May 2006
The launch of this index will coincide with the first day of trading of the Initial Public Offering (IPO) for Rakon Limited.
“It is exciting for us to see that the New Zealand investment community is embracing high growth technology companies, and recognising their contribution to the New Zealand economy,” said Justin Maloney, Rakon Marketing Manager. “The new index will help raise the profile of the entire high tech industry, which will not only benefit constituent companies such as Rakon, but also those operating in the private sector as well.” The aim of these special interest indices is to provide the investment community with a general measure of performance and a tool to promote and further raise the profile of the individual constituent companies.
“Liquidity of the stocks included in this Index has been variable, influenced to no small degree by the lack of public profile in our local markets. We have hard evidence that international investors recognise the value of New Zealand science and technology innovators. It’s about time New Zealand investors got in on the action,” said Brown. Major global data distributors Reuters, IRESS and Bloomberg will cover the performance of the NZX SciTech. Index Information can also be found at www.nzx.com/market/index_summaries.
NZX will hold seminars for NZX SciTech Index companies to present to the wider investment community in the middle of the year. For a description of all the constituent companies, their website addresses as well and a detailed explanation of the NZX SciTech Index methodology visit the NZX SciTech Index page www.nzx.com/nzxmarket/indices.
The NZX SciTech Index will be weighted by full market capitalisation with a 10% cap on any one stock. NZX has calculated two full years of back-history for the index, which reveals that SciTech companies have marginally outperformed the wider market in the last year. In the 12 months ending 30 April 2006, the NZX SciTech Index returned 29.4% compared to 27.2% for the NZX 50 Index and 19.5% for the NZX SmallCap Index.
