Feeds

Fairfax set to IPO auction site

Trade Me set to get traded

High performance access to file storage

Fairfax Media has confirmed that it is selling up to 35 percent of its stake in New Zealand online auction site Trade Me.

The media giant says it intendes to launch an IPO on the New Zealand stock exchange and possible the ASX, subject to financial market conditions.

Should the public offer take place Trade Me would emerge as a stand-alone, New Zealand stock exchange listed company. The successful online site was acquired by Fairfax in 2007 for around NZ$750 million.

The trans-Tasman media group hopes to raise between NZ$350 million and $525 million based on recent market valuations of the eBay-esque asset.

The architect of the original purchase of the company former Fairfax CEO David Kirk, has resurfaced to assist with the process and operate as a non-executive chairman of the company

"Fairfax will continue to benefit from the strong growth profile of Trade Me and through a shareholding of at least 65 per cent," chief executive Greg Hywood said.

The company flagged its intention to sell the asset in June, after a punishing season of eroding advertising sales across the group.

At the time it said that it was considering offloading New Zealands’s biggest online auction site as part of a wider strategic review of its group assets.

Australian analysts differ on estimates on Trade Me’s current valuation, Morgan Stanley said in June that it could be worth between $AU1.1 billion to $AU1.3 billion, while Deutsche Bank said Fairfax could realise $AU391 million by floating 50 percent of Trade Me. ®

High performance access to file storage

More from The Register

next story
Dropbox defends fantastically badly timed Condoleezza Rice appointment
'Nothing is going to change with Dr. Rice's appointment,' file sharer promises
Audio fans, prepare yourself for the Second Coming ... of Blu-ray
High Fidelity Pure Audio – is this what your ears have been waiting for?
Did a date calculation bug just cost hard-up Co-op Bank £110m?
And just when Brit banking org needs £400m to stay afloat
MtGox chief Karpelès refuses to come to US for g-men's grilling
Bitcoin baron says he needs another lawyer for FinCEN chat
Zucker punched: Google gobbles Facebook-wooed Titan Aerospace
Up, up and away in my beautiful balloon flying broadband-bot
Apple DOMINATES the Valley, rakes in more profit than Google, HP, Intel, Cisco COMBINED
Cook & Co. also pay more taxes than those four worthies PLUS eBay and Oracle
It may be ILLEGAL to run Heartbleed health checks – IT lawyer
Do the right thing, earn up to 10 years in clink
prev story

Whitepapers

Top three mobile application threats
Learn about three of the top mobile application security threats facing businesses today and recommendations on how to mitigate the risk.
Combat fraud and increase customer satisfaction
Based on their experience using HP ArcSight Enterprise Security Manager for IT security operations, Finansbank moved to HP ArcSight ESM for fraud management.
The benefits of software based PBX
Why you should break free from your proprietary PBX and how to leverage your existing server hardware.
Five 3D headsets to be won!
We were so impressed by the Durovis Dive headset we’ve asked the company to give some away to Reg readers.
SANS - Survey on application security programs
In this whitepaper learn about the state of application security programs and practices of 488 surveyed respondents, and discover how mature and effective these programs are.