TIL Logistics group has received a ‘please explain’ notice from the NZX sharemarket regulator following a stock price surge.
The price of TIL’s shares increased 22% from $0.86 at the market close price on November 17 to $1.05 at November 24.
Under the NZX listing rule 3.1.1, companies are expected to provide updates to the market which could impact the share price, although there are some exceptions.
“Material Information does not need to be disclosed where a reasonable person would not expect the information to be disclosed and where the information is confidential and its confidentiality is maintained and where one of five safe harbours applies,” the rule says.
The trucking and logistics firm issued a reply to the price enquiry on November 25 signed by TIL general counsel and company secretary Charles Bolt.
“We confirm that, as at the date of this letter, TIL Logistics Group Limited continues to comply with NZX Listing Rule 3.1.1,” it said.
TIL released its full year results in August, reporting sales growth and full year net profit after tax of $2 million. Taking into account pre-NZ IFRS16 accounting adjustments, its net profit after tax was up 50% to $6m compared to $4m for the same period last year.
Its share price has continued to rise and is currently trading at around $1.10 per share.
