South Island listed companies' market capitalisation was flat for the quarter to September and Silver Fern Farms underpinned the result with a $110.4million gain in share price valuation.
The total market capitalisation of the Deloitte South Island index of southern-based companies declined by $50.6million, or 0.3%, for the quarter. Two of the largest companies dragged down the overall results.
Finance partner in Deloitte's Christchurch office Scott McClay said the index overall decline during the quarter overshadowed the positive performance of the smaller companies.
''The key elements to this quarter's results lie with poor performances of a couple of the largest companies.
''This is hiding the positive results of smaller companies, which are creating a flowing undercurrent of positive activity in the South,'' Mr McClay said in a statement yesterday.
The biggest index declines came from heavyweights Ryman Healthcare and Meridian Energy, which fell respectively $305million, or 7.7% and $153.8million, or 2.8%, in market capitalisation.
While declining by $50.6million for the quarter, for the year to September the index increased 12.3% to $1.58billion.
Also in decline was former takeover target Kathmandu, whose shares declined by 35c to $1.40 during Briscoes takeover offer period. Its capitalisation dropped 20%, or $70.5million.
PGG-Wrightson also declined during the quarter, down 14% or by $49million.
By dollar values, the index' top performer was EBOS Group, which grew by $333.1million, or 21.6%, during the quarter.
By percentage gain, Silver Fern Farms had the largest growth in market capitalisation, up 274.6%, or gaining $110.4million, for the quarter after its board recommended entering into a partnership with China's leading meat processor Shanghai Maling, which will leave the co-op debt-free and recapitalised.
The 0.3% quarterly decline in the Deloitte South Island Index was the smallest among international benchmark indices. The NZX 50 Capital Index was down 4.1%, the ASX All Ords down 7.2% and the Dow Jones down 7.6% during the quarter to September 30, Mr McClay said.
Only three of the seven industry sectors in the South Island Index posted positive movements in the quarter, Mr McClay said. The manufacturing and distribution sector was the leading performer with 17.9% growth, the primary sector gained 10.1% and the ''other'' sector gained 0.8%.
Retail, property, energy and mining, and biotechnology sectors each lost value during the quarter, declining 18.4%, 6.6%, 2.8% and 0.3% respectively.
