The Mighty River IPO
March 4th, 2013 at 2:55 pm by David FarrarBill English and Tony Ryall have announced details. They are:
- Pre-registration period will begin tomorrow
- Pre-registration period ends 22 March
- Offer document in mid April
- A 3 week offer period after that when individuals can apply for shares
- After the individual offers, institutional investors can apply
- Main listing on NZX and secondary listing on ASX, because some institutions with NZ investors could not apply without an ASX listing
- Sale process to conclude mid May
- minimum share application will be $1,000
- All NZers guaranteed at least $2,000 of shares without scaling back if they apply
- The loyalty bonus for NZ retail investors will be detailed before the share offer opens
I’m looking forward to buying some MRP shares, especially as I was banned from being able to buy Contact Energy shares when they were floated.
Likely to but Meridian shares also. Not so sure about Genesis, and also unsure about Air NZ. Air NZ is one of the more successful airlines, but it is a very temperamental industry.
A for Solid Energy, I suspect I could buy it with my collection of loose change – a good reminder of why the Government shouldn’t own risky competitive businesses. Their jobis to regulate not own.
Related posts:
- Guaranteed $2,000 of shares for all Kiwis
- To list on ASX or not?
- Is NZ Labour more ideological than the Lao People’s Revolutionary Party?
- 65 Iwi offered a chance to *purchase* shares
March 4th, 2013 at 3:04 pm
Hidden due to low comment rating. Click here to see.
Unpopular. Like or Dislike:March 4th, 2013 at 3:07 pm
It’s good news, I have had my eye on Meridian shares long before this Govt suggested a partial share float.
Vote:March 4th, 2013 at 3:18 pm
Hooray! Count me in. I have been saving up my cash for this for a long time. (Though like you, DPF, I probably won’t be buying Air NZ shares.)
Vote:March 4th, 2013 at 3:20 pm
or E) Deporting all the socialist liars.
Vote:March 4th, 2013 at 3:26 pm
Good to see a sense of humour:
Maybe Greg deserves a loyalty bonus of his own.
Vote:March 4th, 2013 at 3:31 pm
I thought we the people of nz owned them not the government. They just governed them for us…
Vote:March 4th, 2013 at 3:31 pm
Which Tory policy initiative will best close NZ’s income gap with Australia?
I wasn’t aware that David Cameron had announced any such policies.
Vote:March 4th, 2013 at 4:02 pm
Ha ha ha, what you “own” bro is a share of the national debt. You should try paying something towards it.
It always cracks me up when beneficiaries claim they “own” a share of something they’ve never paid for. Ha ha ha.
March 4th, 2013 at 4:13 pm
Labour and Greens were quick out of the blocks with press releases insisting on a referendum for a mandate on asset sales.
I’m waiting for them to commit to referenda on any contentious policies they may want to progress in Government.
Labour and Greens on Mighty River and referendum
Vote:March 4th, 2013 at 4:56 pm
BWAV
Vote:The incumbent government announced the partial asset sales programme BEFORE the election telling the voters that the policy would only be implimented if they were re-elected. The opposition parties particularly Labour based their entire campaign in 2011 around opposing the asset sales. You’d have have been brain dead as a voter to not know that the election was very much a referendum on this policy. Having won the election, National kept its promise and proceeded with the policy. All around the world that’s called democracy. Of course its provoked a sour grape fuelled hissy fit from the opposition including the Greens reaching the referendum signature threshold courtesy of collectors paid for by the tax payers. And how are these tactics working for the left? National goes UP in the polls!
March 4th, 2013 at 4:58 pm
I’m up for a couple of grand worth of Meridian, maybe the odd grand elsewhere and $1.50 on Solid Energy.
I look forward to the trial.
Vote:March 4th, 2013 at 4:59 pm
Heh…Beneficiary my arse fucktard.
Bet you’re not paying your fair share eh RN?
And nah, if the govt own the power stations they can own the national debt too…
Vote:March 4th, 2013 at 5:05 pm
Is anyone helping John Banks write the SHARE PROSPECTUS this time?
Vote:March 4th, 2013 at 5:05 pm
That wasn’t what the public voted on as you well know kia Asset sales was routinely disapproved of in polls.
So why no polls on whether it still is?
Vote:March 4th, 2013 at 5:19 pm
BWAV: That wasn’t what the public voted on
Wrong. Labour expressly made it all about asset sales. This is well known, but obviously you are a bit disconnected from the facts. Here’s what Phil Goff said just before the election:
And Phil was exactly right – National had campaigned on selling the assets (or 49% of them) if it won. It did, and you are now surprised that it is keeping its election promise?
Vote:March 4th, 2013 at 5:22 pm
Black with a Vengeance (917) Says:
March 4th, 2013 at 5:05 pm
“That wasn’t what the public voted on as you well know kia Asset sales ” You fucking moron of course they voted on it!!! It was their main policy (and the Grens main campaigning stratey was to oppose it) and the proceeds are going towards things such as schools, hospitals etc. How much fucking clearer did you want them to make it??? Jesus christ you lefties are a bit bloody slow aren’t you!!
So if your socialist chums pledge to implement a capital gains tax but over 50% (and polls suggested this last election) of people disapprove then I assume you will be calling for them to drop if if they win the election?
Vote:March 4th, 2013 at 5:29 pm
This will be fun…
If the ‘anti’ lobby are to believed (Tui Ad) and such a HUGE percentage of the population opposes these partial sales, then no-one will register and no-one will want to purchase shares. After all, they wouldn’t be hypocrites, would they?
But (of course) the converse applies – if this offer is over subscribed, that should tell the ‘anti’ lobby (the Gweens) that they are still totally out of touch with mainstream NZ and all they’ve achieved with this ‘petition’ is create another line item in the column marked ‘wasted taxpayer expense’ for money blown on ‘signature collectors’…
But the Gweens can look on the good side: at least their ‘fiscal credibility rating’ will remain intact. It can’t move south from zero!
Vote:March 4th, 2013 at 5:36 pm
i have already had multiple queries from my clients about my thoughts on the IPO and was interviewed by a newspaper as well. thats pretty full on for something only announced today.
funnily enough the queries have come from clients that i know to mostly lean to the greens politically.
i suspect the noise from the greens and labour about the population being anti this is mostly just a small number of very loud people.
bring it on
Vote:March 4th, 2013 at 5:44 pm
Black
Vote:What planet were you on during the 2011 campaign? It was front and centre on Labour’s website, billboards, TV ads, leaflets, Goff’s utterances and his rehearsed lines during the debates. The Greens, Mana, NZ 1st all weighed in opposing them as well. National and Key endlessly debated the merits of the partial asset sales throughout the campaign. Political columnists and reporters opined on this topic frequently. Somehow to you miraculously NZ voters missed all of that and did not vote on this issue. I feel a Tui’s billboard coming on just for you BWAV.
March 4th, 2013 at 6:27 pm
KIA, you’re missing the point. Apparently a large proportion of NZers opposed asset sales, but voted for National anyway.
So either:
1. They didn’t care that much about asset sales, and were happier with National’s bundle of stuff than Labour’s
2. They thought that they could get the rest of National’s program, but maybe the asset sales wouldn’t happen
3. All NZers are idiots. Labour generally think this, but they only say it in private. That’s why they think the govt should tell us what to do every minute of every day.
My guess is option 1. And further to that, that Labour offered no credible opposition, so it wasn’t a hard choice. Apparently Black thinks differently.
Vote:March 4th, 2013 at 6:28 pm
BWAV: ” if the govt own the power stations they can own the national debt too…”
…and they can sell the power stations to pay the debt. Glad you see the light.
Vote:March 4th, 2013 at 6:33 pm
Just cos Labour campaigned against it as an election issue doesn’t mean National campaigned for it.
There was never a mention in any billboard or advertisement. Nor was it ever robustly debated and not only that but as someone else said…
Vote:March 4th, 2013 at 6:34 pm
Grendel, I would happily pay more than I am about to sink into MRP shares just to have a list of all those who so vehemently oppose these sales yet buy them OR have their Kiwisaver funds involved.
That would make some jolly interesting reading. Like those we won’t mention who minced down the red carpet at the Hobbit premiere recently.
BWAV, just for you bro – they are selling these to release some capital. It’s that or borrow or tax more and the NZ public don’t want those options so they voted for National at the last election.
Did you notice your power bill going up by roughly twice the rate of inflation year on year during Helen Clark’s administration or did WINZ pay it for you. I noticed it, and I thought ‘there’s an asset that I don’t want’
Vote:March 4th, 2013 at 6:42 pm
If only the government did own the national debt or even owned up to owning it and had a better plan for paying it off than selling state assets.
What a clueless bunch of self serving fuckwits we have governing us. I guess it’s true we get the government we deserve.
Btw, if they hadnt lowered the tax take on the fatcats we’d be able to pay for better infrastructure. Though with charter schools we won’t have to worry about building them, we can build more prisons instead.
Welcome to the brighter future.
Vote:March 4th, 2013 at 6:48 pm
Now changing your tune eh BWAV? But still playing fast & loose with the facts.
Vote:March 4th, 2013 at 6:56 pm
Fast and loose with the facts and changing tunes?
Next you’ll be calling me a closet right wing nutjob:)
Vote:March 4th, 2013 at 6:58 pm
And I don’t think you’ll find a lot of voters opposed to taxing high earners more rather than selling state assets.
Maybe we should poll that as an issue too?
Vote:March 4th, 2013 at 7:26 pm
If I had majority control of Mighty River Power I’d ensure Hamnida’s supply was cut off. That power is produced by an operation that isn’t environmentally sensitive, and if he drinks the water he’ll be tainted by ‘treason’ and ‘evil’.
Vote:March 4th, 2013 at 7:31 pm
BWaV.
Have a look at MED graphs that track GDP and total spending and the corollary deficits and/or surpluses from 1999 to today. You will see that things were going quite nicely until 2005. Up until this point Labour was reaping the benefits of politically difficult/unpopular fiscal policy and market reforms undertaken by National in the 90′s. Then, your favourite Auntie poked her nose in the pie and spat out some of Labour’s flagship spending policies. Given the aggregate expenditure vs revenue tracking from 2005, even if we still had Labour party tax rates, under which I might add the total tax take was ‘lower’ at the top marginal thresholds you cretin, we would still have been facing the situation National faced, never ending deficits, and massive liabilities in state provided assets and funds (i.e. kiwirail, and ACC).
Economically illiterate stupid people shouldn’t talk around adults.
Vote:March 4th, 2013 at 7:32 pm
bwav – “And I don’t think you’ll find a lot of voters opposed to taxing high earners more rather than selling state assets.”
I think that was covered by the last election and your side lost that question as well. The problem is, the voting public knows that when you say “fatcats” you mean anybody who isn’t on the dole or the dpb.
Vote:March 4th, 2013 at 7:51 pm
The funny thing is, with all the hooplah from the MSM, and the delaying tactics from the Maori Council this has guaranteed publicity that the government couldn’t buy.
Also the delay of a few months means a lot of folks have been able to save up to buy shares.
Now we may have the green referendum coming up in the next year or so – well this ensures more ongoing interest in the sales.
I would say a whole handful of own goals by the left.
Not to mention the energy expended by the left could have been spent on attacking the government in the mean time…..
I gotta wonder if all the left parties are made up of Trevor Mallard clones
Vote:March 4th, 2013 at 7:55 pm
UpandComer
Eat a big fat dick you pompous windbag and stop blaming Labour for the fucked up state of affairs then come up with a better way of balancing the books than selling state assets.
There’s your homework, now be a good lad and jog on!
Vote:March 4th, 2013 at 7:59 pm
Just for you OneTrack and the rest of the ignorant voting public…
http://en.m.wikipedia.org/wiki/Fat_cat_(term)
Vote:March 4th, 2013 at 7:59 pm
BWAV: “Waah waah waah… “
Vote:March 4th, 2013 at 8:11 pm
One other thing BWAV; at 6.45 pm, you identified yourself as someone who hasn’t travelled – or are one of those kiwis who did an O.E. with their eyes shut during a once-over-lightly on some Kontiki bus round Europe ‘been there done that’ in 5 days.
I have travelled and believe me, our ‘fat cats’ are beginners. That is a laughable statement. We don’t have rich people here – there are a few but they sure as hell don’t spend much time here!
What we do have is a load of punters like me who have enough set aside to look after ourselves (you know, personal responsibility) and a few thousand pretty well off punters who have been funnelling their dough into trusts paying fuck all tax and the IRD are – finally, under this Govt, not Helen’s by the way – starting to crawl up their arses with torches.
This is the myth eternally promulgated by the left that just bores the crap out of me, this ‘John Key’s rich mates’, this ‘the rich are getting richer’ bull shit that dumb people repeat like good little parrots.
Spare me. More like ‘The average are battling on and doing all right because they didn’t take on debt they can’t afford, were thrifty and limited their breeding’ versus the ‘couldn’t be fucked, can’t be fucked and are now fucked’
Again, the poorest person in this country who doesn’t like it is welcome to surrender their passport and swap with someone from Chad.
Vote:Night – night all.
March 4th, 2013 at 8:24 pm
And it’s those few thousand well off fatcats that Key sucks up to and games the system for, as in the Hubbard SCF collapse and now the state asset firesale.
Vote:March 4th, 2013 at 8:39 pm
Why won’t you be buying into Genesis, David?
[DPF: I'm not convinced about their business plans. I'll decide once there is a prospectus]
Vote:March 4th, 2013 at 8:44 pm
Despite the official press releases and talking up of the asset sale referendum Russel Norman sounds decidedly resigned to the asset share floats going ahead in this interview:
That answer surprised me, it reeks of defeat. Maybe he saw the Supreme Court as effectively the last chance. Which is right, despite all the talking up of the referendum.
See: Interview with Russel Norman, co-leader of the Green Party on the economy and politics
Vote:March 4th, 2013 at 8:48 pm
Aaaarrgh! Key bailed out SCF because it was GOVT GUARANTEED thanks to the previous Govt. They had to do it by law!
You cannot be that dumb. Now I’m really going to bed
Vote:March 4th, 2013 at 8:49 pm
Pete, I’m not visiting the daily bog, the stranded, red blert or any other whiny bitch blog. Please stop linking to them.
Vote:March 4th, 2013 at 8:58 pm
Key bailed out SCF because English, against the advice of Bollard rolled over on the guarantee scheme and thus allowed it to be gamed and Hubbard scapegoated, then…
Vote:March 4th, 2013 at 9:23 pm
Nice whiny bitch there RN. Please stop following links you don’t like – it’s not that hard.
Vote:March 4th, 2013 at 9:53 pm
I’m surprised you think I’d follow them Pete.
Vote:March 4th, 2013 at 11:13 pm
Which Tory policy initiative will best close NZ’s income gap with Australia?
A) Bill English promoting NZ as a low wage economy.
Vote:B) An increase in the GST rate while lowering income tax for the wealthiest New Zealanders.
C) Selling profit making SOE’s to Australians.
D) Using spare private savings/capital to buy up existing assets
E) Using government money to provide an incentive for private individuals to continue to own SOE shares
March 4th, 2013 at 11:18 pm
As to owning shares, my preference is for Mighty Power and Genesis at this stage, but given David Farrar has worked for Shipley I will consider his reservations and will look at the Genesis prospectus before buying.
Vote:March 5th, 2013 at 12:42 am
Something to read before investing.
http://www.pundit.co.nz/content/the-mighty-river-battle-is-on-again
Vote:March 5th, 2013 at 4:24 am
BWAV
You are piling ignorance on top of willful blindness. It was Clark and Cullen who, in a fit of panic, decided to extent the guarantee scheme to cover a select few finance companies like SCF. It was stupidity on its ear – retired investors faced with the choice of a 4% return from Westpac (guaranteed) versus 7.5% from SCF (same government guarantee) its a no brainer. I ran a commercial lending operation for 4 years and when hot money flows you have to find a home for it. Labour’s stupid mistake incentivised SCF to plunge investors funds far beyond the core rural lending that had up until then been its bread and butter – National had no choice but to honour the scheme Labour put in place.
Did you never watch any of the election debates? Do us a favour and go back and have a watch and tell us how many times Key and Goff (and the others) debated the asset sales. Every communication Labour had with the voters was on that topic and yet somehow because National’s billboards made no mention that becomes irrevocable proof that the voters of NZ were ignorant of the consequences of voting National back in.
Vote:March 5th, 2013 at 4:47 am
No choice but to honour the guarantee is not actually what happened.
The Labour Party created these silly guarantees for finance companies as their last expensive act before being turfed out of office, … they can’t be entirely to blame. National have not tried very hard to get out of the guarantee fine print and exacerbated the damage rather than minimizing it:
http://asianinvasion2006.blogspot.co.nz/2010/08/ahubb-over-hotch.html
http://asianinvasion2006.blogspot.co.nz/2011/04/taxpayers-fund-scf-nationalisation-dog.html
Vote:March 5th, 2013 at 8:19 am
No, I’m afraid you’ve been sadly misinformed kia.
It was English on taking over the treasury bench who signed the rollover to guarantee the govt bailout of SCF when it failed.
And how about you go back and read the polls around election time of just how unpopular a policy state asset sales was and still is.
Vote:March 5th, 2013 at 8:44 am
I am not getting too excited. A maximum investment of $2000 before scaling back won’t buy many shares.
Vote:Say the share price is $3. That means you only get 666 shares. What say you want 10000 shares ,or even 100000 shares.
How many shares will you actually get?
If there is a great demand the number of shares anyone can apply for might be scaled back to anywhere between 2000 and 10000.
March 5th, 2013 at 9:26 am
Black with a Vengence
You are the one who is sadly misinformed. English signed the Treasury extension of the Retail Deposit Guarantee effective 12 October 2010 for only 9 financial institutions – these are listed here at http://www.treasury.govt.nz/economy/guarantee/retail/approved. 4 of the 9 in the extended scheme had their coverage withdrawn at various dates throughout 2011 and coverage for the remaining 5 expired on 31 December 2011 with the expiry of the entire foolish scheme.
Below that list are the financial institutions that were covered under the original scheme that expired and that was the only scheme that covered SCF. The payouts made to SCF investors under the RDG whilst National has been the government were under the original coverage signed into law by Cullen. English did not rollover coverage for SCF when he was Finance Minister – SCF was one of many finance companies listed on the Treasury website as being in what was called in October 2010 the expired scheme. SCF was never part of the Oct 2010 extension as you falsely claim. Thus the $1.6 billion paid out to SCF depositors can be 100% laid at the feet of the Labour government.
Opinion polls don’t decide elections – actual elections decide elections. If the asset sales were so unpopular and that opposition was the mainstay of the Opposition’s entire campaign, then why weren’t the Opposition parties elected with enough MPs to govern and thus block the sales?
Vote:March 6th, 2013 at 9:57 am
Hahaha…Mad props to Bill English.
That is the best official rewrite of history I’ve seen in a good minute.
I wonder if he got paid help at the taxpayers expense to cook up that crock of shit .
That’s almost as good as this…
http://www.guerillamedia.co.nz/content/1-march-2013-john-key-high-profile-new-zealanders-media-implicated-alan-hubbard-killing-cove#
I suspect somewhere between the extremes lies the truth…
Vote:March 14th, 2013 at 11:09 am
Oh btw kia, what do you make of this?
6 April 2010Emails with Attachment(s) between the Treasury and the Office of the Minister of Finance: Re: Approvals for Extended Retail Deposit Guarantee SchemeReleased 14 April 2011
http://www.treasury.govt.nz/publications/informationreleases/scf/pdfs/scf-1818183.pdf
From here
http://www.treasury.govt.nz/publications/informationreleases/scf/extended
Following on from this…
25 Feb 2010Emails with Attachment(s) between the Treasury and the Office of the Minister of Finance: FW: South Canterbury FinanceIncludes an attachment: Aide Memoire from the Treasury to the Minister of Finance: Retail Deposit Guarantee Scheme – Statutory Management; Summary of Options dated 15 August 2009.
http://www.treasury.govt.nz/publications/informationreleases/scf/pdfs/scf-ea-tsy-mof-25feb10.pdf
From the time English went against treasury advice that he let it fail and rolled them over for continuance in the scheme , the game was on and the fix was in, with only those in the know allowed to play and not lose.
Funnily enough there was a line in this piece (I think but looking like it has since been removed) …
http://www.stuff.co.nz/the-press/business/8412858/High-Court-trial-date-for-SCF-defendants
…where the minister of finance claimed he was duped into resigning SCF based on false claims, yet knowing all along they were fucked!
Vote: