47% of Kiwibank sold
The NZSF and ACC announced:
The NZ Super Fund and ACC today settled their investment in Kiwi Group Holdings Limited (KGHL), the owner of Kiwibank.
NZ Super Fund has taken a 25% stake from NZ Post for $263 million. ACC has invested $231 million for a 22% stake, with the $494 million deal valuing KGHL at $1,050 million.
NZ Super Fund Chief Executive Officer Adrian Orr said: “Investment opportunities of this size and potential are rare in New Zealand. As a New Zealand investor with a long-term view, strong financial expertise and available capital, the NZ Super Fund is in an excellent position to help Kiwibank achieve its long-term promise.
“We are delighted to become part of the Kiwibank story and look forward to working with ACC and NZ Post to support Kiwibank’s on-going success. We believe Kiwibank will make an important contribution to portfolio returns over the long term and take pleasure in adding another major New Zealand investment to the Fund.”
This is a tidy move. NZSF and ACC have professional fund managers who will do a far better job monitoring the performance of Kiwibank than a couple of staff at Treasury (with respect).
It also gives NZ Post additional capital without needing to bother taxpayers.
Someone let James into the top secret knowledge that the Govt owns NZSF and ACC! https://t.co/yusSrvXLnI
— David Farrar (@dpfdpf) October 31, 2016
Meanwhile James Shaw is trying to be an idiot by claiming this is a privatisation!