Auckland International Airport Limited (AIA)

[Silverlight]

Completion of Institutional Bookbuild

Auckland International Airport (“Auckland Airport”) advises that it has successfully completed the institutional bookbuild component of its 1 for 16 fully underwritten entitlement offer (“Institutional Bookbuild”). This represents the second stage of Auckland Airport’s approximately NZ$126.4 million equity raising, announced on 27 January 2010 (“Offer”).

The Institutional Bookbuild was well supported, attracting bids from both new and existing New Zealand, Australian and international investors. The clearing price under the Institutional Bookbuild was NZ$1.91 per share.


Assuming the retail offer goes the same way, and you decide not to subscribe for your shares you will receive the 26 cent difference, which is about 1.625 cps, basically a dividend.

[ratkin]

Interesting , if the market keeps falling then might be better in the shortterm to take the cash.
I shall be going for the shares , have been considering topping up lately anyway

[Lawso]

Wot's gonna happen to the price when trading resumes tomorrow? Good chance to pick up more, d'ya reckon?

[macduffy]

Hmm.....

Brian Gaynor this morning was less than enthusiastic about AIA's Nth Qld purchase.

I still reckon AIA is one of our better stocks but we may see them trade down a bit today.

[ratkin]

Market seems to like AIA today. Was a good time to have a trading halt , missed all the down days and then reopens up four cents

[Lawso]

Certain posters have questioned my mathematical skills in the past, usually with good reason. But how does the following stack up?
The day after the record date for AIA's share offer, I sold 1000 of my holding for 195cps, realising $1920.10 net. Now I can buy my full entitlement of 1839 new shares @ the offer price of 165cps - cost $3034.35.
Using round $s, $3034 minus $1920 = $1114 cost. I will then hold 839 shares more than I had before and I figure they will have cost me not 165cps but 132.7cps!!
What a bargain!

[winner69]

Probably more the logic than the maths

Using the same maths with the same ogic one could say you have missed out on a bargain mate .... you could have got 300 FREE (ie cost = zilch) shares if you had sold 1,555 shares (instead of 1,000) and then bought the 1839 at $1.65

Whatever way you look at it the 1,839 you get at 1.65 are worth more that at todays price .... well done

PS - on reflection you can still get those free shares

[ratkin]

No , it the maths

[Snoopy]

I remember when John Banks was the one who tried to sell off all AIA shares and he said that the council is to look after Auckland city and not be running a big share holding in AIA. Now Mr. Banks is saying that it is a "critically important" piece of infrastructure. Comments.

If it is critical I hope that AIA can do better than this. Here is a reprint of the relevant paragraphs from my rather longer exposition on the THL thread

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It took more than half an hour between when my Jetstar flight from Christchurch landed and when the baggage was stuck on the carousel. And I am not just talking about my luggage: half the plane had to wait that long. I have no idea what happened, but I have never seen the baggage collection process so slow, and that includes from international flights and much larger planes. I don't know whether to blame Jetstar or AIA for that, but AIA I think must share some of the blame for what happened next.

Having 'missed' (after being given the wrong timetable) my free shuttle, I went to the taxi rank. I was told that the 3.5km trip to THL's Auckland Airport branch was subject to a $30 minimum charge! Even a cabby in a traffic jam in London would not charge those rates. I can see the cabby's perspective of sitting on the rank for an hour and only getting a short trip. Perhaps AIA should set up a special short haul taxi rank? I understand that getting a cab to any hotel in the immediate vicinity of Auckland Airport would have cost the same.

Either way, this seems a sure way to give overseas visitors a sour taste of NZ service as soon as they get off the plane if nothing is done. The rejected cab driver then waved me in the direction of a shuttle who tried to charge me $15 for the same trip, before we eventually settled on $10. One thing I can say about these transportation arguments is that by the time the negotiations were over, my luggage had at last arrived off the plane. And that saved me from going back and picking it up later.

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SNOOPY

[ratkin]

30 dollar taxi ride may seem a lot to you , but for most foreign visitors they would see nothing out of the ordinary about it.