Bhp Hands Over Task To Computershare
Sydney Morning Herald
Tuesday December 10, 2002
Computershare has secured a multi-million-dollar global contract to supply share registry services to BHP Billiton after the resources group farmed out its local registry operations for the first time.
BHP Billiton's 320,000-strong shareholder registry operations were previously managed in house using Computershare SCRIP technology, while its UK registry was handled by Lloyds in London.
Under the new deal, expected to come into effect in February, local Computershare businesses will deliver share registry and employee share and option plan services to BHP Billiton shareholders in Australia, the UK and South Africa, with operations co-ordinated from Melbourne.
``By winning this contract in an open tender we again validate Computershare's global, full-service offering that is both unique and compelling for high-profile, large, multinational companies like BHP Billiton," chief executive Chris Morris said.
The win provides a much-needed validation for Computershare following its losses of share registry contracts for Brambles and Fairfax to rival ASX Perpetual Registrars in July.
``Obviously we had a bit of a rotten run there," said group managing director, Asia Pacific, Stuart Crosby.
``Frankly, the Brambles one [contract] was disappointing because Brambles is the sort of company that we can offer something special.
``Unfortunately they'd recently made separate arrangements in the UK so we couldn't offer them the sort of global service that BHP Billiton had sourced here."
The BHP Billiton contract adds to Computershare's success in securing the Foster's Group share registry operations from ASX Perpetual, in a deal that some sources have suggested was achieved through undercutting competitors by up to 50 per cent.
Mr Crosby would not confirm how much the BHP Billiton contract is worth to the company, but said it would be profitable.
``We are not in the business of writing contracts that aren't going to make us money," he said.
Mr Crosby said other promising deals were in the pipeline. The shares rose 4c to $1.96.
© 2002 Sydney Morning Herald