NZ Govt. to start sale of 20% of national carrier today

Monday, 18 November 2013 00:01 - - {{hitsCtrl.values.hits}}

WELLINGTON (Reuters): The New Zealand Government said on Sunday it will sell a 20% stake in the national airline this week to raise as much as NZ$ 365 million ($ 304 million) to fund infrastructure and reduce debt. The off-market sale to local and offshore institutions, which would cut the Government’s ownership of Air New Zealand Ltd. to 53%, is part of a program to sell minority stakes in four state-owned firms to raise NZ$ 5 billion. Craigs Investment Partners, Deutsche Bank and Goldman Sachs have been appointed to run the share sale. The bookbuilding process will start on Monday, and Finance Minister Bill English said he was confident of achieving the Government’s objective of having 85% New Zealand ownership of the airline. “Usually these types of sales are completed in less than one day,” English said. “However, to target widespread New Zealand ownership, we are conducting the bookbuild over Monday and Tuesday to give New Zealand sharebrokers time to discuss the offer with retail investors.”