Kiwibank ownership changed

NZ Post has sold nearly half of it’s shares in Kiwibank to two other Crown entities, the Super Fund and ACC.

The NZ Super Fund and the Accident Compensation Corporation’s purchase of minority stakes in Kiwibank has been welcomed by Finance Minister Bill English and State Owned Enterprises Minister Todd McClay.

“The deal keeps Kiwibank in public ownership and gives the bank access to additional sources of capital,” Mr English says.

“It also returns a dividend of about $200 million to the Government which can be used for other high priorities.”

Under the terms of the deal, NZ Post has sold a 25% shareholding in Kiwibank to the Super Fund and a 22% shareholding to ACC. The remaining Kiwibank shares are retained by NZ Post.  NZ Post, the NZ Super Fund and ACC are all owned by the Crown.

Mr McClay says the deal recognises that the business operations of NZ Post and Kiwibank are at very different stages of development.

“The transaction will result in a greater separation of NZ Post’s and Kiwibank’s operations and will allow the boards and management of both businesses to focus on their respective markets.”

Green co-leader James Shaw responded:

The privatisation of Kiwibank starts today with a 47% sale to ACC and Super Fund.

would have invested $100 million directly in Kiwibank meaning we’d still own it in 5, 10, 20 years’ time…

https://www.greens.org.nz/policy/smarter-economy/kiwibank-can-get-low-rates-all-us

Q & A – Super Fund, and fossil fuels and affordable housing

On Q & A today:

  • Political Editor Corin Dann has an extended interview with New Zealand Super Fund chief executive Adrian Orr. Why the fund is getting out of fossil fuels – plus his ambition for affordable housing.

Is the Super Fund going to move towards social investments in a big way? They have enough money to potentially make a big difference, and possible big losses.

  • Whena Owen looks at the state of our billion dollar forestry industry – it’s dominated by foreign operators and much of the processing is sent overseas – can we do better?

 

  • New Zealand tech entrepreneur Derek Handley on how to grow great entrepreneurs.