MEL - Meridian Energy

http://www.nzherald.co.nz/business/n...ectid=11125424

Meridian Energy's listing date has been announced. Who is interested? :)

And if anyone is wondering, here is the Gov website where you can register your interest.
https://www.meridianshares.govt.nz/

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Originally Posted by MrAT

http://www.nzherald.co.nz/business/n...ectid=11125424

Meridian Energy's listing date has been announced. Who is interested? :)

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Thanks for the link .
I have already registered my interest on line-what a frustrating form to complete-managed to get the 2 word identification code after numerous attempts

Does anyone have any thoughts on whether Cunliffe would proceed with Greens/Labour hare brained scheme to set up power buying agency?

I heard him talk about it on radio last week so sounds like he will continue with that policy !

No more "hairbrained" than the systems Pharmac or Fonterra use, so good on the Labour/Greens Opposition for doing something about delivering cheaper power to the people. If that discombobulates the government's asset sales programme.....tough!

There doesn't appear to be any benefit in going though a broker, in fact probably a disincentive as you may be scaled more:
https://d2ikaws505454x.cloudfront.ne...xt%20steps.pdf

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Originally Posted by Ekrub

No more "hairbrained" than the systems Pharmac or Fonterra use, so good on the Labour/Greens Opposition for doing something about delivering cheaper power to the people. If that discombobulates the government's asset sales programme.....tough!

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Partial sale Burke.

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Originally Posted by CJ

There doesn't appear to be any benefit in going though a broker, in fact probably a disincentive as you may be scaled more:
https://d2ikaws505454x.cloudfront.ne...xt%20steps.pdf

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All the incentives just reek of desperation. If it was such a good deal, they wouldn't need to throw these in.

I never buy a company unless it has released 2 annual reports since listing on the share market. I don't intend to start now.

I don't think the proposed incentives are necessarily a reflection on Meridian the company but rather they indicate the govt's determination to make sure that the partial float is a success. I will withhold a view on the merits of Meridian as an investment until there are some hard numbers available.

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Originally Posted by macduffy

I don't think the proposed incentives are necessarily a reflection on Meridian the company but rather they indicate the govt's determination to make sure that the partial float is a success. I will withhold a view on the merits of Meridian as an investment until there are some hard numbers available.

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agree, it is a mechanism to allow smaller NZ investors to buy more - like me ( say $6k now, $4k later). They could easily sell more than 15% to overseas investors.

The thing is, offering it in installment receipts is not even a "lolly scramble". You the investor are "borrowing" the 40% later money at an implied interest rate anyway. So there is no real free money in this issue.
That said I may get into it as a stag as I see the govt maybe giving greater incentives to "mom and pops" than they did last time or at least make the price more firm before you apply. Will wait to see the full details first. But don't get fooled by high yeilds and paying later. That is just a facade to sell this thing easier.

I'm probably going to stag it. Not interested in holding it long term.

As a rookie investor, getting burned by MRP early on was not fun at all. I'll stay well clear of Meridian until I know the price. Even then I think i'll wait till it goes live or look into it after the next election.

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Originally Posted by PartyPooper

As a rookie investor, getting burned by MRP early on was not fun at all. I'll stay well clear of Meridian until I know the price. Even then I think i'll wait till it goes live or look into it after the next election.

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Welcome to the forum PartyPooper.

That's a wise move, in this instance if you are unsure the best thing to do is to do nothing.

Meridian have a slightly different business model from MRP and CEL, they inherited the 'jewel in the crown' assets from ECNZ, very big well depreciated south island hydro cash cow plant.

But, the risks are also a little different, Meridian are more prone to dry year events and more prone to low wind years then their competitors.

Because of this it is probable that Meridian over time will be a little more volatile, as far as power companies go, and there may well be a better entry point to buy in during a future dry year event.

One of the unique things that Meridian does offer is an investment in a "clean green renewable energy". This alone might be a reason for many investors to get involved, if not for business/investment but for the appeal of supporting green business. Initially may not have an impact but globally there is a lot of goodwill for these types in investments so I could see large overseas funds getting in further down the track.

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Originally Posted by BIRMANBOY

One of the unique things that Meridian does offer is an investment in a "clean green renewable energy". This alone might be a reason for many investors to get involved, if not for business/investment but for the appeal of supporting green business. Initially may not have an impact but globally there is a lot of goodwill for these types in investments so I could see large overseas funds getting in further down the track.

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I often smile at the Meridian TV advertisements knowing that they sell greenness because they don't "own" any thermal plant. They are actually quite enjoyable ads though.

However, the fact that Meridian "contract" heavily to Genesis Energy for Huntly coal fired generation as thermal backup doesn't make them anymore green to me!

Reality is for accountants...perception is for everyone else.

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Originally Posted by MAC

I often smile at the Meridian TV advertisements knowing that they sell greenness because they don't "own" any thermal plant. They are actually quite enjoyable ads though.

However, the fact that Meridian "contract" heavily to Genesis Energy for Huntly coal fired generation as thermal backup doesn't make them anymore green to me!

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$1.60-$1.80, I hear...

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Originally Posted by robbo24

$1.60-$1.80, I hear...

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$ 1.50 - $ 1.82 reported on Radio Live news and 10% dividend for the first year on the 60% paid in the initial installment.