Vector Limited (VCT)

[wsheridan]

quote:Originally posted by Paper Tiger


http://www.nzherald.co.nz/business/b...thetickercode=
[The messing about at the trust may impede vectors ability to bid for NGC, many companies interested in AGL's stake and closing date for offers 6-Oct].

Will Vector bid?
Will all the mucking around at the court preclude this?
Does it really matter?
Does anyone care anymore?
Where's the bottle gone?

Seems to me there is a lot of bottle being shown and some are fighting hard to see this one come through.

[Snow Leopard]

quote:
AGL agrees to sell Vector its share of NGC

11.10.2004
9.45am
The Australian Gas Light Company (AGL) has agreed to sell its 66.05 per cent stake in gas pipelines company NGC to Vector.

Vector Chairman Michael Stiassny announced the agreement today.

The deal is worth $877.4 million in total with AGL agreeing to accept $3.00 a share. NGC shares traded on Friday at $3.06.

Mr Stiassny said the purchase of a stake in NGC was a major achievement for the company, and was consistent with Vector's long term strategy for growth as an owner and manager of critical infrastructure assets.

"The purchase of a majority shareholding in NGC is an exciting step forward for Vector as it provides the company with a number of complementary businesses for its current portfolio.

"The company has a range of high quality assets which will not only enhance Vector's strategic position, but also continue to play a major role in the country's energy industry."

Completion of the acquisition is subject to an exemption being granted by the Takeovers Panel, which would allow AGL to sell its New Zealand holding company (AGL NZ Ltd) to Vector, rather than its NGC shares. This company holds 64.2 per cent of NGC. AGL also directly owns a further 1.8 per cent stake.

An offer is expected to be made to NGC's other shareholders in due course on an equivalent basis.

The offer is also conditional on Commerce Commission approval and an exemption under the Electricity Industry Reform Act (EIRA) in regard to NGC's interest in electricity generation.

Mr Stiassny said the deal was a significant milestone for New Zealand.

"Given recent public debate on foreign ownership, we are pleased to be able to bring another valuable infrastructure asset back under majority New Zealand ownership."

The deal with AGL may see Vector floated on the share market.

- NZPA

[wsheridan]

quote:Originally posted by Lawso

Hope you're right. You're obviously closer to the scene than I am.

seems so

[Lawso]

Well done, ws.
I'm saving some pennies for the IPO next year, tho' hopefully as a bondholder I'll get an allocation at a good price.

[wsheridan]

The most interesting thing is that most of the management of Vector wil find life in the truely public arena very tough.... their arrogance will not sit well with NZX strictures. I think it will be fabulous to see a lot more scrutiny of what is one of our largest companies.

Same goes for the Auckland Energu Consumer Trust... their roles as major owner of a listed organisation should lead to a bit more discipline.

I reckon this will ultimately serve as a great example of why such organisations should have at least a partial listing.

For investors, the great thing is that you know they will maximise dividends... after all, Trustees want to be reelected by the people getting the dividends from the AECT.

If you ar looking for a retirement income stream then this will be one of the safest investments around.

[StainlessSteelRat]

quote:Originally posted by wsheridan

If you ar looking for a retirement income stream then this will be one of the safest investments around.

I wonder. I am currently a bondholder, but i am concerned at the amount of debt on their balancesheet. While this will be nullified slightly by selling 25%, there is still a mountain of money owed to the Aussie banks.

My current feeling is to go through the IPO (as both bondholder and Mecury customer) and stag the whole thing.

[wsheridan]

quote:Originally posted by StainlessSteelRat

quote:Originally posted by wsheridan

If you ar looking for a retirement income stream then this will be one of the safest investments around.

I wonder. I am currently a bondholder, but i am concerned at the amount of debt on their balancesheet. While this will be nullified slightly by selling 25%, there is still a mountain of money owed to the Aussie banks.

My current feeling is to go through the IPO (as both bondholder and Mecury customer) and stag the whole thing.

If you go through the IPO then they will use the funds raised to repay debt.... meaning the very concern you had about potential high debt will no longer exist [B)]

[lambton]

quote:Originally posted by StainlessSteelRat

quote:Originally posted by wsheridan

If you ar looking for a retirement income stream then this will be one of the safest investments around.

I wonder. I am currently a bondholder, but i am concerned at the amount of debt on their balancesheet. While this will be nullified slightly by selling 25%, there is still a mountain of money owed to the Aussie banks.

My current feeling is to go through the IPO (as both bondholder and Mecury customer) and stag the whole thing.

Opportunity to participate in Vector thru a preferential bond holder allocation (meaning Bewares, ABC's and other rip off investment Bankers cannot rob us of an entitlement quite so easily this time - but beware they'll be working on ways to steal the pot of gold) is one of the best things to happen to NZ investors since the float of Contact. Buy as many as you can afford and hold em is my advice.

[wsheridan]

abn amro will make a killin.... but that shouldn't surprise given how close they have been to this for many years.


I'm holding onto NGC in expectation of a scrip-based offer in the IPO.

[lambton]

quote:Originally posted by wsheridan

abn amro will make a killin.... but that shouldn't surprise given how close they have been to this for many years.


I'm holding onto NGC in expectation of a scrip-based offer in the IPO.

Good move.