Shares undervalued: Port Bouvard

Property developer Port Bouvard says its share price rise over the past week is due to the company being undervalued and the recent opening of the Perth to Bunbury highway.

The explanation was in response to an Australian stock exchange query over the developer's share price surge from 28 cents last Tuesday to a high of 40 cents at 15:20 AEST on no news.

In a reply to the ASX, Port Bouvard provided two possible explanations to the share price rise.

"We believe that the Company is undervalued by the market and astute investors are becoming aware of this," Port Bouvard said.

"Recent media surrounding the opening of the Freeway extension may have attracted attention to the Company's prime landholdings in the area."

The company added it was meeting with the state's Planning Commission tomorrow regarding the Gidgegannup project after it lodged the master plan earlier this year.

Port Bouvard is seeking to develop the 483 hectare land into a mixture of rural and townsite lots, schools and a village centre.

The company is also progressing on both its Point Grey and Esperance projects.