Infratil sells down part of its Port of Tauranga stake

By NZPA

Tuesday 3rd September 2002

Utilities investment firm Infratil announced a sell-down of 3.5 million shares in Port of Tauranga Ltd this morning.

Infratil owns 20 percent of the port, along with the Bay of Plenty Regional Council which owns 55 percent. The sell-down equates to 5 percent of the company.

The ordinary shares would be sold at $7.35 per share, giving them a total value of $25.7 million.

Brokerage ABN Amro Craigs asked the Stock Exchange to quote separately for the shares, which were being sold on an ex-dividend basis and would continue to trade like that until the record date of October 18.

Infratil's manager Lloyd Morrison told NZPA that the sell-down was aimed at freeing up some capital following recent purchases.

"We don't have unlimited capital resources," Mr Morrison said, pointing to the purchase of a 10 percent stake in Australian energy company Energy Developments Ltd (EDL) in July. Infratil acquired about 11.5 million shares for $A41 million ($NZ48.65 million) from exiting EDL shareholder, NRG Energy which is withdrawing from the Asia Pacific region.

Infratil expects to reap $26.5 million from the Port of Tauranga placement, after buying the shares in 1994 for about $5.81 million at an average price of $1.66 per share.

Port of Tauranga remained a significant and important part of Infratil's portfolio, Mr Morrison said. It is Infratil's fourth biggest investment, after TrustPower, Wellington International Airport and Glasgow Prestwick Airport.

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