Gordon Campbell | Parliament TV | Parliament Today | Video | Questions Of the Day | Search

 


MRP share offer document registered and loyalty bonus scheme

Hon Bill English
Minister of Finance
Hon Tony Ryall
Minister for State Owned Enterprises

5 April 2013
Media Statement
MRP share offer document registered and loyalty bonus scheme announced

New Zealand retail investors in the Mighty River Power share offer will receive one loyalty bonus share for every 25 shares they hold for two years from the offer, up to a maximum of 200 bonus shares, Finance Minister Bill English says.

Mr English also announced that the indicative price range for the shares is $2.35 - $2.80 per share, with the final price expected to be announced on 8 May after the retail offer has closed and the institutional offer has been conducted by a book-build process.

“The loyalty bonus scheme that I am announcing today is another way to encourage widespread and substantial New Zealand ownership of shares in MRP,” Mr English says.

“It also recognises the loyalty of those New Zealanders who retain their shares and contribute towards the country’s savings culture.”

The loyalty bonus scheme is available only to New Zealand retail investors – not to institutions in New Zealand or overseas.

The Mighty River Power share offer document was formally registered today and from later today will be available for viewing on the www.mightyrivershares.govt.nz website from within New Zealand.

A ‘consideration period’ has now started and is expected to last for five working days. This is a requirement under securities law to allow the Financial Markets Authority the opportunity to review the document before the offer period officially starts.

New Zealanders can also take this time to read the document and start considering whether they wish to apply for shares.

No applications are able to be accepted during the consideration period.

People who pre-registered will be posted or emailed copies of the share offer document once the offer opens, expected to be Monday 15 April.

Around 440,000 New Zealanders registered their interest in the share offer during the pre-registration period that ended two weeks ago.

Mr English repeated today that the Government expects to see at least 85 per cent New Zealand ownership of the company at the time it lists, which is expected to be on Friday 10 May.

The maximum cost of the loyalty scheme will not be known until the offer has closed and allocation decisions are made, but a bonus offer of 1:25 means that the maximum cost will be 4 per cent of the value of shares allocated to New Zealand retail investors.

“We think the size of the loyalty bonus strikes a good balance between promoting widespread participation in the share offer, rewarding New Zealanders who decide to hold on to their Mighty River Power shares, and being prudent with the costs of the share offer,” Mr English says.

State Owned Enterprises Minister Tony Ryall says the share offer period, during which New Zealanders can apply to buy shares, is expected to open on Monday 15 April. It will remain open for three weeks, with the expectation of it closing on Friday, 3 May, one week before the company is expected to be listed on the NZX Main Board and the ASX on 10 May.

“We know that many New Zealanders are likely to be buying shares for the first time and great care has been taken to ensure that the offer document sets out all the information they may need to decide whether or not they want to participate in the share offer,” Mr Ryall says. “The document is some 260 pages and sets out the relevant risks for people to consider.”

“After the consideration period, we will announce that the offer is open and New Zealanders will be invited to apply for shares. The offer period will be three weeks long, so there’s plenty of time for New Zealanders to read the document and consider whether they want to be involved.”

Potential investors are encouraged to talk to their financial advisors if they want personalised advice.

Mr English and Mr Ryall say the Government is pleased to have reached this stage in the offer process.

“It is worth noting the rationale behind our mixed ownership model. The share offer programme is expected to raise between $5 billion and $7 billion of capital that the Government can spend on new investments that we would otherwise have to do without, or we would have to borrow overseas to pay for them,” Mr English says.

“In addition, we think the companies themselves will benefit from the mixed ownership model.

“We look forward to the FMA completing its work and the offer period beginning.”


http://img.scoop.co.nz/media/pdfs/1304/MRP_General_Offer_Fact_Sheet_5_April_2013__FINAL.pdf

http://img.scoop.co.nz/media/pdfs/1304/MRP_Offer_Application_Process_Graphic_5_April_2013.pdf

http://img.scoop.co.nz/media/pdfs/1304/MRP_Offer_Document_registered__QA_5_April_2013.pdf

Important notice

The offer of shares in Mighty River Power Limited is made by the Crown on the terms and conditions set out in a combined investment statement and prospectus dated 5 April 2013 (the “Share Offer Document”). The Share Offer is not yet open. It is expected to open for Applications on 15 April 2013. When the Share Offer opens, Applications for shares must be made on the Application Form accompanying the Share Offer Document.

Application has been made to NZX Limited ("NZX") for permission to list Mighty River Power and to quote its shares on the NZX Main Board and all of the requirements of NZX relating to that application that can be complied with on or before the date that of this Media Release have been duly complied with. However, NZX accepts no responsibility for any statement on this Media Release. The NZX Main Board is a registered market operated by NZX, which is a registered exchange, regulated under the Securities Markets Act 1988.

The contents of this document are not permitted to be made available to persons in any country other than New Zealand. The Crown's shares in Mighty River Power Limited and the other Mixed Ownership Model Companies have not been and will not be registered under the U.S. Securities Act of 1933. The Crown's shares may not be offered or sold in the United States or to, or for the account or benefit of, any person in the United States absent registration or an applicable exemption from the registration requirements and may not be offered or sold in any jurisdiction where it is unlawful to do so.


________________________________________


© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

'Tea Break Bill' Passes: Gordon Campbell On Bad Labour Laws And Poor Safety

By co-incidence, one of the prime dangers of the government’s new employment relations law has been underlined by the release of the death and injury statistics among workers at New Zealand ports. These are highly profitable enterprises for the port owners.

The Port of Tauranga for instance, is expecting its current full-year profit to be between $78 million and $83 million and other ports are enjoying similar boom times – but they are also highly dangerous places for the people who work on or around the port premises. At the Port of Tauranga, there have been 26 serious accidents since 2011, and two deaths. More>>

 

Parliament Today:

No Charges: Outcome Of Operation Clover Investigation

Police have completed a multi-agency investigation, Operation Clover, into the activities of a group calling themselves “The Roast Busters”. The 12 month enquiry focused on incidents involving allegations of sexual offending against a number of girls in the Waitemata Police district and wider Auckland area... More>>

ALSO:

UNICEF Report: NZ Cautioned On "Stagnating" Child Poverty

An international report by UNICEF has found that child poverty rates in New Zealand have barely changed since 2008, despite similar sized countries significantly reducing child poverty during the recent recession. More>>

ALSO:

Funding Report: Two Pathways For Transport In Auckland

Commissioned by Auckland Council, the group was asked to investigate two possible pathways for raising $300 million per year ($12 billion over 30 years) to pay for the improvements needed to help fix Auckland’s transport system. More>>

ALSO:

Pay Equity: Equal Pay Win In Court Of Appeal

CTU: The Court of Appeal has made a historic decision paving the way for a substantial equal pay claim for aged care workers. More>>

ALSO:

Gordon Campbell: On The TPP Finishing Line, And Amazon’s Woes

If the Trans Pacific Partnership trade deal wasn’t such a serious matter, this would be pretty funny… More>>

ALSO:

TV3 Video: Three Die On Roads Over Labour Weekend

The official holiday period ended at 6am Tuesday, with three deaths on the roads during the Labour Day weekend. More>>

Employment Relations Bill: Govt Strains To Get Tea Break Law Through

The Government has been left with egg on its face - failing to get its much-vaunted, but hugely unpopular, meal break law passed in the first week of its new term, Labour spokesperson on Labour Issues Andrew Little says. More>>

ALSO:

Guns: Police Association Call To Arm Police Full Time

"The new minister gave his view, that Police do not need to be armed, while standing on the forecourt of parliament. The dark irony was that the interview followed immediately after breaking news of a gunman running amok in the Canadian parliament in Ottawa..." More>>

ALSO:

Get More From Scoop

 

LATEST HEADLINES

 
 
 
 
 
 
 
 
Parliament
Search Scoop  
 
 
Powered by Vodafone
NZ independent news