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

 


Genesis Energy share offer details released

Hon Bill English

Minister of Finance

Hon Tony Ryall

Minister for State Owned Enterprises

13 March 2014

Media Statement
Genesis Energy share offer details released

The Government today released further details of the partial float of Genesis Energy, including a 1:15 loyalty bonus share incentive for New Zealand retail investors.

The Genesis share offer will open on Saturday, 29 March, Finance Minister Bill English and State Owned Enterprises Minister Tony Ryall say.

The sale of Genesis shares, with the company expected to list on the NZX main board on 17 April, will bring to a close the Government’s successful share offer programme, Mr English says.

It follows the float of 49 per cent of Mighty River Power and Meridian Energy, and the sell down of 20 per cent of the Crown’s holding in Air New Zealand to 53 per cent.

“The Government has said it will sell between 30 and 49 per cent of Genesis Energy and the exact amount to be sold via the bookbuild will be announced on 26 March, before the bookbuild opens,” Mr English says.

“Proceeds from the sale will go in to the Future Investment Fund, which has so far raised about $4 billion for investment in assets like schools and hospitals, without the need for borrowing from overseas lenders,” he says.

“At the same time, New Zealand’s capital markets have been strengthened and New Zealanders who invested in the stockmarket for the first time through the Government’s share offers are now earning dividends from shares.”

The Genesis Energy prospectus was registered today, and is available together with the investment statement at: www.genesisenergyshares.govt.nz.

Other details announced by the ministers today are:

• The indicative share offer price range has been set at $1.35 to $1.65 per share.

• As with the other share offers, the minimum application will be $1000.

• Based on the indicative share offer price range, the prospective 2015 financial year implied gross dividend yield is forecast to range from 13.5 per cent to 16.5 per cent.

• The amount of the company to be sold through the bookbuild will be announced on 26 March.

• The bookbuild will be held on Thursday 27 March and Friday 28 March to establish the final share price.

• That price, and the resulting forecast dividend yield, will be announced on the evening of 28 March.

• The next day, Saturday 29 March, the offer will open to the public.

• To encourage New Zealand participation, New Zealanders who buy shares and hold them for 12 months from allotment date (expected to be 16 April 2014) will be eligible for 1 loyalty bonus share for every 15 shares they hold, with a cap of 2000 bonus shares.

• The Government is committed to at least 85 per cent New Zealand ownership at the time of the float, as was achieved with the previous government share offers.

“Over the next two weeks, Treasury, its advisers and Genesis Energy management will market the share offer to New Zealand broking advisers, New Zealand institutions and offshore institutions,” Mr Ryall says.

“This process will allow the Crown to determine the expected demand from the various investor pools, at which point we will decide and announce the level of sell down for the bookbuild process.”

The offer structure allows every NZX participant share broker in New Zealand to be invited to take part in the bookbuild. ANZ and ASB are also retail syndicate members for the share offer.

“The new structure means New Zealand’s largest sharebrokers are free to prepare and release research and analysis on the Genesis Energy share offer, at their discretion,” Mr Ryall says.

“The NZX has already publicly announced that it intends to host independent research on its website,” he says.


ENDS


© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

Gordon Campbell: On Last Night’s Debate, And The Collins Accusation

Debating is a peculiar discipline in that what you say is less important than how you’re saying it. Looking poised, being articulate and staying on topic generally wins the day – and on that score, Labour leader David Cunliffe won what turned out to be a bruising encounter with Prime Minister John Key last night on TVNZ.

Cunliffe marshalled his points better, kept Key off balance and – more often than not – was in control of the general tenor of the contest. Labour supporters would have been heartened, and given some belated reassurance that maybe the change of leadership last year had been the right decision. More>>

 

Parliament Today:

Gordon Campbell: On Winston Peters' Latest Bout Of Immigrant Bashing

It is only one poll, but rather than cannibalising each other's vote, Colin Craig and Winston Peters do seem to be managing to find the room to co-exist... Few are questioning how Peters got to this happy place, and what it says about the mood of the electorate. More>>

ALSO:

More Immigration News: First People Trafficking Charges

The first people trafficking charges in New Zealand have been brought by Immigration New Zealand (INZ)... The defendants have been charged under the Crimes Act 1961 for arranging by deception the entry of 18 Indian nationals into New Zealand. More>>

Collins 'Misinterprets Media Reports': "Too Compromised To Remain Justice Minister"

Bizarre claims by Judith Collins this morning that she had been cleared of inappropriate behaviour by the Privacy Commissioner demonstrates she is too compromised to remain Justice Minister, Labour MP Grant Robertson says. More>>

ALSO:

Labour On Climate Change: Focus On The Now For The Future

A Labour Government will put in place a comprehensive climate change strategy focusing on both mitigation and adaptation, establish an independent Climate Commission and implement carbon budgeting, says Labour Climate Change spokesperson Moana Mackey. More>>

ALSO:

Gordon Campbell: On National’s Housing Assistance Plan

So, as many as 90,000 people could derive some benefit from National’s housing assistance plans for low and middle-income earners... Yet in reality, the benefits seem likely to be insignificant, and they will be skewed towards those at the top end of the income group that’s supposedly the target. More>>

ALSO:

Election Data Consortium: National’s Worst Case Scenario At Stage One?

A month out from the general election and ipredict traders are still forecasting National’s vote to slip below current polling levels and there is potential for it to fall further. More>>

ALSO:

From The Scoop Video Archive: PM Says SIS "Told Me" About OIA Release

In a press conference immediately following an controversial OIA release of notes on an SIS briefing to then Labour leader Phil Goff, Key said "at that point [Tucker] told me he'd release it ...". Since the release of Nicky Hager's 'Dirty Politics' Key has denied being personally informed and said references by officials to 'the PM' being told briefed referred to his office. He now says the same about his own statement. More>>

ALSO:

  • Scoop Video in the news - New questions over Key claims | NZ Herald News - Stuff.co.nz
  • Earlier - Felix Marwick: Laying out facts over SIS documents - Newstalk ZB
  • Labour - Director’s letter contradicts Key’s claims
  • ACT - The Letter - 26 days to go
  • TV3 Video - Housing issue nudges Dirty Politics aside - David Cunliffe: Key's SIS explanation 'defies belief' - SIS leak came from Key's Office - Goff - Key 'categorically denies' Slater OIA discussion - Video: Key faces more Dirty Politics questions

  • TVNZ - Winston Peters: ‘Dirty Politics' is a new low
  • The Nation - Debate Between Grant Robertson And Russel Norman
  • NZ First - “The Words Mean What I Say They Mean”
  • Get More From Scoop

     

    LATEST HEADLINES

     
     
     
     
     
    More RSS  RSS News AlertsNews Alerts
     
     
     
    Parliament
    Search Scoop  
     
     
    Powered by Vodafone
    NZ independent news