Camplify Holdings (ASX:CHL) climbed +5.3% in lunchtime trades on...

Obscure camper van rental player Camplify big winner in NSW gov't flood response

Jonathon Davidson

The Market Online, Australia

Camplify Holdings (ASX:CHL) climbed +5.3% in lunchtime trades on Monday as it firmed its position as the sole provider of caravans to NSW landowners hit by floods who now need temporary dwellings on-site.

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But that +5.3% gain reflects a fairly paltry $20,000 worth of trades as at midday. Camplify mightn’t be guns or gold, but you’d maybe expect a bigger deal to be made of the contract if this company were on the everyday trader’s radar.

Though, in the defence of the everyday trader, Camplify’s Monday disclosure was bereft of any dollar signs, beyond an existing $50M pool of funds set aside between Canberra and NSW to deal with the floods. Which may or may not be cynically called “not much for government.”

Regardless, the deal follows a smaller pilot trial with one local government area in NSW, the results of that apparently enough to persuade the larger Minns government that this arrangement is good enough for the foreseeable future.

Under that program, the company reported an overall fleet of around 630 camper-van deployments.

“This expanded agreement underscores the vital role Camplify’s network plays in providing immediate and practical support, building on our successful track record in previous disaster responses,” Camplify CEO Justin Hales said.

Given climate change, so long as the company can manage its government affairs, that last note could be good news for Camplify shareholders (who likely want the share price to travel back to where it was in February).

CHL last traded at 50cps.

The material provided in this article is for information only and should not be treated as investment advice. Viewers are encouraged to conduct their own research and consult with a certified financial advisor before making any investment decisions. For full disclaimer information, please click here.

Jonathon Davidson

The Market Online, Australia

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