Helicopters NZ's Canadian buyer to adopt HNZ name
Canadian Helicopters, which bought Helicopters NZ from the receivers of South Canterbury Finance for $154 million, wants to adopt the HNZ name to tap into its global reputation.
BUSINESSDESK: Canadian Helicopters, which bought Helicopters New Zealand from the receivers of South Canterbury Finance for $154 million last year, wants to adopt the HNZ name to tap into its global reputation.
The unit, once owned by the late Allan Hubbard, contributed $C18.5m of revenue to the group's $C62.5m in the three months ended March 30, the Canadian company said in a statement to the Toronto Stock Exchange.
Net quarterly income rose to $C8.3m, or 63 Canadian cents per share, from $4.8m, or 37 cents per share, a year earlier.
"Canadian Helicopters had another strong performance in the first quarter as operations in the southern hemisphere offset the seasonal slowdown in Canadian domestic activity," president and chief executive Don Wall said.
"HNZ had a very strong quarter driven by fire-fighting activities and its strong presence in the resources sector."
Last month, Canadian Helicopters flagged its intention to change its name to HNZ Group to "increase the company's global marketability and branding by distinguishing the company from similarly named Canadian competitors and to leverage the existing HNZ brand recognition", it said.
Shareholders will vote on whether to approve the name change at the annual and special meeting in Canada tomorrow (NZT).
If all approvals are obtained, the company will change its name in the Northern Hemisphere summer this year.
Canadian Helicopters has cut its bank debt to $C41.7m as at March 31.
It drew down $C93m of a revolving credit facility of $C125m to finance the HNZ acquisition, which boosted its fleet by a third to 160 choppers.
Mr Wall said the company's financial position lets it seek new opportunities in international markets, and it is looking at making more acquisitions that complement its existing business model.
The shares fell 0.8% to C$33.10 in trading on the TSX yesterday, and have climbed 39% this year.
Paul McBeth
Fri, 11 May 2012
Fri, 11 May 2012
© All content copyright NBR. Do not reproduce in any form without permission, even if you have a paid subscription.
Helicopters NZ's Canadian buyer to adopt HNZ name
20655