Housing strength and business confidence
I happened to look up my then oldest Newsletter showing on the TBK Capital website. This was written in April 2013, two years after we started the business. And it had the same headline as above - Housing strength leads business confidence.
Well the weather hasn’t been the best, with more rain to come. So, like many of you I’ve been at home during the Christmas break.
However during this time I happened to look up my then oldest Newsletter
showing on the TBK Capital website. This was written in April 2013, two
years after we started the business. And it had the same headline as
above - Housing strength leads business confidence.
In it I wrote “As long-time readers of my newsletters will know, I
believe the housing market leads the economy. So the latest news on the
increase in residential sales and prices is a sign of the future. Most
if this is good - but it comes with a warning.
“The national median price rose an annual 8.1% to a new record
$400,000 (up from $382,000 in February). But over 90% of the increase in
the median price came from Auckland and Canterbury – which account for
about half of all sales”.
Well, here we are 9 years later and the median house price in Auckland is now $1,090,000.
There may be some hope
the rise in house prices will not continue at this rate, but whatever
the state of the housing market, it’s a large part of New Zealand’s
economy and leads business confidence.
Looking for a loan?
If you’re a business owner an important part of owning a house is it’s
the most common security SME’s use to borrow money from banks. For both
long-term loans and for working capital.
If you’re looking for a loan the Government can give some advice. However, I’m pleased to say that arranging loans for property or businesses is a major part of the services TBK offers. Reply to this email if you’re interested
By the way, sometimes it’s difficult or inappropriate to borrow money in which case you may be looking to raise equity. Well TBK Capital does both and the latter is our specialty.
Investment Opportunities
In the rush to Christmas many of the investment opportunities
we have available were either postponed or somewhat hurried to
publication. So here’s a summary off the Offers, including a brand new
opportunity.
Aeroflora share issue
This is a new Offer we are about to promote. It’s a new business
that intends to revolutionise the sale of flowers at New Zealand’s
international airports. It’s now raising capital to set up the
operations which will initially be in Christchurch, then Auckland.
Contact with all service providers has been made.
Their internet-based Application will have the ability to process
forward orders from the comfort of the customers’ lounge prior to
travel. This allows this unattended retail “device” to be marketed as “The Pickup Point” and “not just at the Point of Impulse Purchase”.
The Company wishes initially to raise $20,000 to cover the costs of
prototype development of the vending unit then $320,000 for the IT/WEB
based application to run and manage orders and payments through the
machine. Total budgeted costs, to get the project under way, including
working capital, are $705,000.
To allow for contingencies the intention is to raise $750,000 This will
entitle the investors to 50% of the net income from the business. An IM
describing the business and the Offer just been completed..
Sitesoft
Here’s an existing investment opportunity with the rare promise of a
liquidity event for shareholders via a public stock exchange listing.
This will be on the Australian ASX; a far larger public platform than
the New Zealand equivalent.
They’ve had good uptake from existing investors via their pre-emptive
rights and have decided to hold fire on any new share offer this month.
Reply to this email for an update when it becomes available
KaiEtica
I first mentioned this in a Newsletter at the beginning of December and featured again as an investment opportunity just before Christmas.
It’s a business founded with Canadian partners by a like-minded group of
New Zealand farmers and businessmen. They expect an IPO to raise
further capital sometime in year 2 or early year 3.
Pictor
Pictor
is one of the most successful Capital raises we had last year. Through
TBK Capital alone they’ve raised over $2,500,000 with an average
investment per applicant of $120,000.
Their plan is for a trade sale to a strategic investor or alternatively a
capital funding round at a much higher valuation than the current.
Possible via an IPO.
Nobilo Wines
Here’s a client and friend I’ve had for many years. Nic has an Offer
that will have appeal for those of who appreciate quality and style in
the finer things of life. And who also might be interested in doubling
their money.
Silica, Gravel & Gold
If you’re looking for an immediate return, this
is not for you. But if you’ve got a private company with a long-term
view, or a family trust, reply to this email. There’s an angle here
around the upcoming battery revolution.
Have a great 2023. At TBK Capital and our sister company Tabak Business Sales we’re both looking forward to a busy year.
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The above investment is not an offer of financial products that
requires disclosure under the Financial Markets Conduct Act 2013 (Act)
and is available only to wholesale investors as defined by that Act. It
is intended for distribution only to selected people to whom, under the
relevant laws, it can be lawfully distributed. It cannot be distributed
in any other jurisdiction, or to any other people. It is not an offer or
solicitations in any jurisdiction in which such offers or solicitations
are not authorised, or in which the person making such offers or
solicitations are not qualified to do so, or to any person to whom it is
unlawful to make such offers or solicitations. Any representation to
the contrary would be unlawful. No action has been taken by any person
that would permit a public offering in any jurisdiction where action for
that purpose would be required.
Cheers
John Paine B.Sc., Dip BIA
TBK Capital Limited
Level 10,120 Albert Street
Auckland 1010, New Zealand
Phone +64 9 307 3257
Mobile +64 21 902 901
Email john.paine@tbkcapital.co.nz