Shares in Queenstown conglomerate Skyline Enterprises continue to reach new heights.
The shares traded at a record $8.25 on the Unlisted market early this week – 11 per cent higher than a month ago and 18 per cent more than before December’s purchase of the remaining half of Christchurch Casino.
The stock has put on 34 per cent in the past year, giving Skyline a market capitalisation of $281 million.
“We cannot control the market and volumes traded are relatively light,” Skyline chairman Ken Matthews points out – just 21,000 shares have changed hands in the past month.
It’s not rumour driving up the price but simply market forces due to a lack of sellers, Matthews believes.
Is the market still applauding Skyline snapping up SkyCity’s half of Christchurch Casino?
Matthews: “You’ve got to take some inference from that but with light volumes [traded] who knows what the real underlying value is?”
Matthews says the rise is heartening for Skyline’s board: “It’s better than the alternative.”
Disclaimer: The writer is a small Skyline shareholder