Media Statement: Treasury announces retail selling syndicate for Mighty River Power float
22 Jul 2012
The Treasury is pleased to announce the Retail Syndicate Panel for the Government's partial share offer programme, and a Retail Syndicate for the Mighty River Power initial public offering (IPO).
Members of the Retail Syndicate for the Mighty River Power IPO are responsible for marketing the shares to New Zealand retail investors, with an emphasis on helping to achieve the Government's objective of 85-90% New Zealand ownership at the time of the share offer.
The Retail Syndicate for the Mighty River Power IPO is:
- Craigs Investment Partners
- Forsyth Barr Limited
- ANZ National Bank
- ASB Bank Limited
Syndicate members will work with the retail broking arms of the Joint Lead Managers for the offer (First NZ Capital, JBWere / Goldman Sachs and Macquarie) to help New Zealanders understand how the share offer process works and how they can participate. They will have a particular focus on first-time investors.
Their work will include public roadshow meetings and presentations, marketing the offer to retail investors in New Zealand, and working to get applications from New Zealanders for the offer.
They will also provide investor education to potential New Zealand investors unfamiliar with direct investment in shares and the New Zealand equity markets.
The combination of the retail broking arms of the JLMs and the Retail Syndicate members covers all major participants in retail distribution in New Zealand equity markets. The appointment of the two commercial banks provides substantial distribution capacity to support the Government's widespread New Zealand ownership goal. Between them, they have over 500 branches and offices across the country, with very large customer bases.
The Treasury sought proposals through the Government Electronic Tenders Service (GETS) and parties signed contracts this week.
The approach taken for the appointment of the Retail Syndicate was the same process that was followed for the appointment of the JLMs. Firstly, Treasury appointed a panel of parties who will be eligible to provide retail selling services for each of the transactions across the share offer programme. The Retail Syndicate for the Mighty River Power IPO was then selected from those panel members. In addition to the Retail Syndicate and JLMs named for the first transaction, the panel includes Bank of New Zealand, Kiwibank and Westpac New Zealand.
Background information:
Retail Syndicate members will be eligible to earn brokerage fees in the usual manner for NZX members.
The Retail Syndicate is not exclusive for the selling of shares to investors; all members of the NZX will be eligible to be paid brokerage for any shares they distribute, whether they are a named member of the panel or not.
Disclaimer:
The Crown is considering offering shares to the public in one or more of Genesis Power Limited, Meridian Energy Limited, Mighty River Power Limited, Solid Energy New Zealand Limited and Air New Zealand Limited. No money is currently being sought and no applications for shares will be accepted or money received until after an investment statement containing information about for the relevant offer of shares is available.
This press release is not permitted to be distributed in any country outside New Zealand. No decision has been made as to whether an offer will be made in any country other than New Zealand. Nothing in this press release constitutes an invitation to subscribe for, or offer of shares, securities or financial products to any person, whether in New Zealand or in any other country.
This release does not constitute an offer of shares for sale in the United States or to, or for the account or benefit of, any person in the United States. The Crown's shares have not been and will not be registered under the U.S. Securities Act of 1933 and may not be offered or sold in the United States absent registration or an applicable exemption from, the registration requirements of the U.S. Securities Act of 1933.
