Auckland Council to sell remaining stake in Auckland Airport
Auckland Council is moving to sell its remaining stake in Auckland International Airport.
Trading in the airport company’s shares has been suspended while the deal was being completed.
“Auckland Future Fund Trustee has invited a relatively large group of brokers to submit offers for a parcel of 163,231,446 shares (a 9.71% shareholding) in Auckland Airport,” the airport company said, in a filing to the NZX.
It said the brokers would be expected to on sell to investment funds and clients.
On Auckland Airport’s closing price on Tuesday night, the stake was worth about $1.3 billion, although such a large parcel of shares would likely be sold at a discount.
Auckland Council last year sold a 7% stake for $833m in a contentious proposal to reduce the council’s debt and set up a fund for future infrastructure spending.
The council and the Auckland Future Fund were tight-lipped on the fresh sales process on Wednesday.
“The Auckland Future Fund board has sole discretion on how the council shares in the Auckland International Airport are sold. Auckland Council and the future fund’s board have no further comment to make regarding a sell down process at this stage,” Future Fund chair Christopher Swasbrook said.
Shhhh.
Nothing to see here folks, just the sale of Auckland’s International Gateway Infrastructure, don’t ask questions, don’t see who is making a cut, how the self interest is being divided up, look over there, Married At First Sight is starting.
Shhhhh.
Something, something rugby.
Shhhhhh.
Increasingly having independent opinion in a mainstream media environment which mostly echo one another has become more important than ever, so if you value having an independent voice – please donate here.
So over the years & decades, what has Auckland City Council contributed to the progress & development of Auckland Sirport? What’s been it’s positive effect?
Why not ask yourself what profit from Auckland airport operations have increased private wealth instead of reducing rates or helping the council provide better services? The cash injection from asset sales is always recommended by a finance industry looking for their margin on the transaction but people neglect to consider the actions of the increased return required delaying any investment required to keep the airport user friendly. You only need to look at Christchurch council which has kept it’s shareholding, has a nice modern airport and receives it’s share of the profits for other council spending.
As long as the money men can make a quick dollar it doesn’t matter if the ratepayers get shortchanged and future airport users pay excessive prices is the way the world works now.
While some have missed the tragic results from past government and council asset sales it appears that as long as any decisions made continue the transfer of wealth from many to the few at the top our mass media won’t complain.
another short sighted move .More of NZ being sold off shore .But maybe Luxon has bought them with his $3 million fund .
“In an inflationary world, a toll bridge (like company) would be a great thing to own because you’ve laid out the capital costs. You built it in old dollars and you don’t have to keep replacing it”
Warren Buffett
Would be great if NZ City Councils and governments could heed the advice of the reknowned greatest investor ever Warren Buffet rather than Wayne Brown and mates.
When it was proved and made so public by the mainstream NZ media that Michael Wood had shares in Auckland Airport(worth an estimated $13,000) the Opposition MPs at the time(aka National)made a song and dance about that Share-saga.
Now how much of a fuss will the media and their Masters in National make of this ‘sale’ of “Auckland Airport’s closing price on Tuesday night, the stake was worth about $1.3 billion, although such a large parcel of shares would likely be sold at a discount”???
It looks like National and its media puppets are conspicuous in their lack of attention on that “Sale”.
But then the mayor of Auckland Council is Right Wing and it’s unlikely the government or the media will make any noise about such a ‘transaction’ to whomever/where-ever.
Comments are closed.