IFT - Infratil

[CJ]

Reading the update linked at at post 1137, they want to expand, not pay down debt.

Not sure where the funds will go. Trustpower will be investing in windfarms in Australia and water in the SI but that money wont come directly from IFT.

Big section on Asian airports which is a bit scary considering their 'success' in Europe.

Also look for PPP in NZ and Australia such as transmission gully where they could be part of the build consortium and once completed, and the risk reduced, sell them off to pension funds and the like for a healthy capital gain.

[andysh]

I noted in the budget that they have announced "$80 million to support private irrigation projects". In the attachement I put in above it was noted that IFT (TPW) are wanting to do irrigation project down in the SI. Might be a bit of support of IFT. By no means I am saying I am correct - just trying to connect the dots. Also in the end it is not a huge amount for TPW - 3.4% of their market cap.

[Zeitgeist]

I had hoped that IFT was talking about freeing up some of the Z $$ to have a crack (ironic because they used to have a chunk) at Powerco. ComCom regulation seems pretty reasonable to me (if I were the owners), if a little predictable and therefore boring. Alas, it seems as though they are not interested.

I think any funds raised from a sell-down of Z will go to pay down some debt and contribute to TPW's windfarms (debt or equity??). Looks like TPW is doing the best it can to diversify from NZ only electricity, and for good reason what with the Labour-Green proposal lurking. e.g. getting into gas retailing (purchase of EDNZ) and generation development in Oz.

I'm excited to see how IFT does use the Z funds of course assuming a sell-down occurs. Hopefully it isn't used in some obscure European airport

[Billy Boy]

Could be they need some dosh for the NZR upgrade ??
BB

[CJ]

I noted in the budget that they have announced "$80 million to support private irrigation projects".

. Agree. Expect to see joint investments here. They are expensive projects and farmers can't fund upfront but will come inboard once running. IFT will earn the risk premium on these investments

I had hoped that IFT was talking about freeing up some of the Z $$ to have a crack (ironic because they used to have a chunk) at Powerco.

not enough money/growth in an established company. IFT wants to earn the risk premium from building an invt business. Not owning existing ones.

I'd also look for them to partially list NZBus in a few years time once the new Auckland PTOM contracts are allocated.

[shambles]

Been a while since any comments on this thread. In the meantime IFT looks to be settling into a down trend, perhaps to be strengthened if MRP replaces it in the NZX10 and triggers some institutional selling? Any thoughts?

[Mista_Trix]

Been a while since any comments on this thread. In the meantime IFT looks to be settling into a down trend, perhaps to be strengthened if MRP replaces it in the NZX10 and triggers some institutional selling? Any thoughts?

Yeah if anyone's got any thought I'd be interested to hear also...

[CJ]

Been a while since any comments on this thread. In the meantime IFT looks to be settling into a down trend, perhaps to be strengthened if MRP replaces it in the NZX10 and triggers some institutional selling? Any thoughts?

Seems to have closely tracked CEN so I think it is just the effect of the L/G announcement has had on Trustpower. Flow on of regulation on Wellington Airport as well.

It will rebound.

[joey]

I have been watching this share for a while now. In the last couple of months it has seemed to be heading down. However
in the last few days it has jumped through the 20 day and 120 day moving averages I that I particularly watch on my charts.
It also got a very good report from Forsyth Barr back in May.

To me it has become a buy.

joey

[CJ]

I have been watching this share for a while now. In the last couple of months it has seemed to be heading down. However
in the last few days it has jumped through the 20 day and 120 day moving averages I that I particularly watch on my charts.
It also got a very good report from Forsyth Barr back in May.

To me it has become a buy.

joey

It was impacted by the Greens power policy given its leveraged investment in Trustpower. That threat is as big a risk as Shearer winning the next election.