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- Release Date: 13/05/14 11:00
- Summary: GENERAL: IFT: Strategic Review of Infratil Energy Australia Assets
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IFT
13/05/2014 09:00
GENERAL
REL: 0900 HRS Infratil Limited
GENERAL: IFT: Strategic Review of Infratil Energy Australia Assets
Infratil's Board today announced a broad strategic review of its National
Electricity Market investments within the Infratil Energy Australia Group
(Lumo Energy and Direct Connect Australia).
Infratil's Board sees a number of possible scenarios that would lead to Lumo
Energy and Direct Connect Australia playing an important role in the future
of their respective industries.
Lumo Energy has now established itself as a significant retail electricity,
gas participant and generator in the National Energy Market and has excellent
growth prospects.
Direct Connect Australia, a utility connections provider for the real estate
industry, has grown into the market leader. While the two businesses operate
in different markets they are highly complementary.
As at 31 March 2014, Lumo Energy had 515,285 customers, 165 MW of generation
and Direct Connect Australia provided utility connections to over 110,000
customers per annum, and the businesses delivered earnings before interest,
tax, depreciation & amortisations and fair value adjustments of A$54 million
for the year ended 31 March 2014.
Infratil's Board will engage with market participants over the coming months
to consider proposals that will maximise return on investment in these unique
businesses - these may include outright sale, merger or partial divestment
options or retention of the status quo. It is expected that this process will
be concluded within six months.
We will continue to update the market as material developments unfold.
Marko Bogoievski
Infratil Limited
End CA:00250369 For:IFT Type:GENERAL Time:2014-05-13 09:00:10
