🔺 What to do when markets are at an all-time high? Find smart bargains, like these.See Undervalued Stocks

RPT-UPDATE 1-Australia funds lead bids for $4.1 bln Port of Melbourne sale -sources

Published 2016-04-18, 05:00 p/m
© Reuters.  RPT-UPDATE 1-Australia funds lead bids for $4.1 bln Port of Melbourne sale -sources
MQG
-
MS
-

(Repeat story, no change to text)
* Hastings, Macquarie, QIC lead 3 global consortia
* Victoria state plans to complete sale by end-2016
* Part of privatisations to cut debt, upgrade infrastructure
* Strong interest expected - Victoria treasurer spokesman

By Swati Pandey
SYDNEY, April 18 (Reuters) - Three consortia of Australian
and international funds have submitted bids for a 50-year lease
of the Port of Melbourne, Australia's biggest shipping container
terminal, people familiar with the matter said on Monday.
The state government of Victoria aims to raise at least
A$5.3 billion ($4.1 billion) before the end of 2016, as part of
a broader Australian government privatisation programme to help
cut debt and upgrade the country's infrastructure.
Australian bank Macquarie Group's MQG.AX Macquarie
Infrastructure and Real Assets fund has teamed up with domestic
infrastructure fund IFM Investors and Dutch pension fund APG in
one of the bidding groups, the people said, declining to be
identified because the matter was confidential.
Another joint bid was submitted by Australian fund QIC and
Canada's Borealis Infrastructure Trust, the people said. A third
consortium consisted of Australian fund Hastings with Kuwait's
Wren House, they said.
QIC, Hastings, IFM and Macquarie all declined to comment.
Borealis, APG and Wren House didn't immediately respond to
requests for comment outside their normal business hours.
A spokesman for the Victorian state treasurer said, "We
expect strong market interest with Port of Melbourne the last
major port in Australia (up for sale)."
Morgan Stanley (NYSE:MS) and Flagstaff Partners are acting as advisors
to the Victorian government on the sale.
While the Australian government has faced questions over its
handling of Chinese government-linked buyouts in other
infrastructure sales, the Port of Melbourne deal didn't
attracted interest from Chinese players, one of the people
familiar with the matter said.
In October last year, the A$506 million privatisation of
Port of Darwin to China-owned Landbridge earned rebukes from
opposition politicians, and even U.S. lawmakers, who warned the
deal could threaten national security.
Meanwhile, the state of New South Wales said last month it
received "strong" indicative bids from Chinese investors for an
electricity distributor it has put on the block. Last November
it sold another power network to a global consortium led by
Hastings for A$10.3 billion. = 1.3036 Australian dollars)

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.