Asset Sales programme very popular

The government’s mixed ownership model is underway and it is looking very popular.

A $1 million advertising campaign will today kick off the Government’s bid to spark a rush for shares in the first sale of state assets in more than a decade.

Investment experts expect hundreds of thousands of people to get in the queue when the Government starts building a list of potential buyers in Mighty River Power shares – attracted by no brokerage fees and a loyalty bonus limited to New Zealand citizens and permanent residents.

Prime Minister John Key yesterday reiterated the Government’s promise that Kiwis would be first in the queue for shares and said he would hold to his election-year promise to aim to keep ownership of at least 85 per cent of Mighty River Power in New Zealand hands. Of that, 51 per cent will be the stake that remains in Government ownership.

A website launched today will be accessible only from within New Zealand as a sign of the Government’s sensitivity. “The Government’s intentions are crystal clear; that is . . . New Zealanders at every turn are favoured,” Mr Key said.

But opponents are accusing the Government of ignoring widespread opposition to asset sales. They have collected nearly 400,000 signatures in a bid to force a referendum. 

I reckon more people will register an interest in buying shares than have signed the dodgy taxpayer funded referendum. And I for one don;t believe the numbers they have touted. Today they are claiming 400,000 signatures, on Friday Shearer was saying 370,000.

30,000 valid signatures in a weekend?

Labour and the Greens want us to believe they are credible on numbers.

If they really got 30,000 valid signatures in a weekend, then this referendum should have been sorted months ago.

I think it is actually a massive database building exercise, and now taxpayer funded Labour and Green staffers in parliament are furiously copying details off the forms into a database. People who signed the referendum are about to be spammed.

Meanwhile a Stuff poll shows just exactly how people feel.

stuff poll

 


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  • maninblack

    i am buying as many shares as i can get my hands on.

    • surfisup

      Why?

      • Time For Accountability

        Because maninblack is a thinker rather than a welfare dependent controlled person.

        Someone that understands that growth assets owned by them have the gain go to them rather we lost in the states welfare pool by the lazy great unwashed.

        Someone who also understands that it wil be their choice when to buy and when to sell to enjoy the profits or in times of need.

      • Gazzaw

        Because Mighty River Power has been an exceptionally well run company for many years. A great staff ethos, very effective management & leadership, well resourced and an eye to the future. MRP has all of its ducks in a row & this will be a massively successful IPO.

      • AnonWgtn

        Reserve Bank have said yesterday that the Banks in New Zealand hold in term deposits of $112 billion, and this does notcount Pension funds, Kiwisaver Cullen Fund and other Government holdings.

    • starboard

      same. Then Im gona flog ’em to the highest bidder and make a shitload of sausage.
      Months holiday Phuket here I come !

      • Gazzaw

        That’s totally immoral starboard. How dare you sod off to Thailand while there’s 250,000 Kiwi kids on the poverty line. You would be able to sleep a lot better if Shearer borrowed the $7 bill instead & drip fed it to the poor.

        • blazer

          what 7billion would that be Gazzaw…very interested to know.

          • Gazzaw

            The $7 bill that will be raised by the PARTIAL sale of the four SOEs. Yes, four blazer because Solid Energy will be as right as rain with restructuring and the inevitable cyclical return of high prices for anthracite. May not be this term but likely during the 2014-2017 Nat Government.

          • blazer

            is that Bills best guess or just…a guess?

          • Gazzaw

            Nobody’s best guess blazer. A comprehensive analysis by by experts in many fields. Are you thick FFS – do you really think that the government is going to put its balls on the block over its major policy initiative without doing their homework? Spare my fucken days………words fail me.

          • blazer

            I dont believe I am thick.If you believe Solid Energy will be right as rain…I do wonder whether you are however.As for balls on the block!…will the Natz be delivering their promised surplus?

          • Gazzaw

            With more than a passing interest in the Chinese and Indian economies the demand for high quality coking coal will be much increased in 2-4 years time & probably back at its former high levels. Yes, the surplus will be delivered albeit twelve months later. Love the way you jibe at Bill English…..I’m thinking (like a lot of Kiwis) of who would be Finance Minister in the unlikely even of a labour/greens/nzf/mana coalition government from hell.

          • blazer

            got your own personal crystal ball have you?In 4 years time coal will be even cheaper imo.Have a look at shale gas…in Nth America.This govt sucks.Key might as well be renamed the American ambassador in NZ.

          • Gazzaw

            In your opinion blazer? Asian economists & analysts think a tad differently.

            Brilliant comments too by the way – ‘this government sucks’, ‘Key might as well be renamed American ambassador’. You should join the labour rent-a-writer mob and contribute to the Horrid.

            What really amazes me about the anti-asset sales people is that you would prefer to borrow the money needed from foreign owned banks and pay them interest rather than sell off a minority share of government assets. Are you aware that household cash deposits (not corporate) in the major NZ banks total $115 billion as of today. The Aussies are making an absolute killing on those deposits. Is it not better for the average Kiwi punter to cash in a term deposit and invest the dough into MRP than leave it there earning big divvies for Aussie investors?

          • blazer

            yep aussie banks are making a killing.Should have kept ASB and BNZ…Kiwis should use Kiwi and TSB banks.Asian economists and analysts think a tad differently…really!Predicting the future aint that easy.The excercise of divys govt recieves from the assets as opposed to borrowing costs shows retaining them is a better return!Reasoning is based on fact in my world,not on speculation and spin.

          • Gazzaw

            Name your sources blazer. Mine come from Temasek Holdings, Asia Development Bank & the Straits Times. Hardly sources of speculation & spin. Yours or is it just your opinion??

          • blazer

            what will happen in 4 yrs time is ALWAYS opinion.!As for selling assets as opposed to keeping them and the divys against the cost of borrowings a 6th form acc student can figure that out.

          • Gazzaw

            I think I’ll take expert regional financial analysis over your personal opinion blazer.

        • starboard

          Yep, I’ll be thinkin how immoral it is when Im lying on Patong beach havin a cheap massage drinkin dollar beers with half a mongrel on lookin at all the ass.

          • Gazzaw

            Very good starboard. Have a Singha on me.

    • GeorgeRomero

      Yeah me too M8 , then after a couple of years when i see my elec bills double i’ll sell my shares to the highest chinese bidder and live on the pigs back like.

  • LesleyNZ

    Looking to invest in MRP.

    • Cadwallader

      Me too! And: my sons, wife, neighbours, workmates….How wrong can Shearer be? Shearer and the idiotic Greens have really displayed their inability to read the electorate.

      • parorchestia

        Shsh. Keep quiet. Don’t tell them how stupid they are otherwise they might pull their socks up in time for the next election.

  • GregM

    I have registered my interest on the website, will be interesting to see how they value up.

  • surfisup

    I find it strange that people go nuts over mighty river shares.

    It is like someone just invented the concept of a share.

    Sure, it is nice to see another option on the market, but , only in that it allows greater diversification of new/existing portfolios.

    It is not like people are going to make a quick buck here, they may even lose money if Tiwai goes under.

    • In Vino Veritas

      Dont wory surf, if Tiwai gets abandoned, Labour and the Greens will spend billions buying it and getting up and running again with bloated staffing. After all, they are acknowledged world leaders in the smelting business.

    • Gazzaw

      I’ll take my chances Surf. You don’t get anywhere in life using the word ‘if’.

      If the Aussies pull out of Tiwai ten to one the Chinese will buy it.

    • lofty

      if if if if jeepers surf you cannot go through life not doing things because you worry about the if’s. It is about reasoned risk taking for gain.
      That applies to all things in life not just capital gain or loss.
      No guts no glory mate.

      • Dave

        Agree Lofty, Look it at this way Surf, If you wake up tomorrow, and If you decide to get out of bed, you might slip in the shower and die. So, discard IF and just DO There is some risk, but far greater risk IF you just stay in bed, one could die of starvation.

        And, I think you will find there is a supply agreement with Tiwai for power at a very low rate, should that ever eventuate then there might be a short term power glut, but how many companies are building extra generation capacity and extra dams? Look at the prediction for power consumption over the next 25 years. MRP shares remain Bloody attractive.

    • parorchestia

      I’m not so sure. Rio is a madly run company who dash off all over the place and get themselves into deep water financially. If they relinquish the smelter it will be when the world economy is just starting to pick up and so another firm may step in and buy it. It’s a very efficient smelter with a very stready and productive work force.

    • rockape

      Normal profits will apply plus probably a 10% bonus in shares for hanging on to them. Add the fact that they will be oversubscribed . THE BIG BOYS WILL BE CHAMPING AT THE BIT TO BUY IN A YEARS TIME.

  • tarkwin

    I see that tosser Norman reckons only five percent will end up in Kiwi hands. He is wrong and hopefully that dodgy statement will come back to haunt him. I’m registering my interest and personally think it will be over subscribed.

    • Patrick

      When it comes to election night Norman is happy with 5% – why all of a sudden is 5% a bad thing Wussel?

      • tarkwin

        The only part he got right was that the government shouldn’t have spent a heap of money advertising it. They didn’t have to, contrary to what the green goober says the shares will sell well.

        • Gazzaw

          One mill is peanuts in the overall scheme of things tarkwin. If the ad campaign did not happen Norman, Shearer, Campbell, Garner & the entire reporting staff of the Herald would have been whinging about the average Kiwi mum & dad not being able to buy shares because they didn’t know how to go about it and as a result all the shares went to ‘rich pricks’. The campaign is a politically smart move.

          A stockbroker mate tells me that the phones are running hot and the share registration website under pressure. He’s never known interest for an IPO running so high.

          Shearer & Norman have backed the wrong horse big time on this. Winnie as well because this issue will go down well with the retirees.

        • Grizz30

          The political opposition and probably john Campbell have given the Government all the advertising they need.

    • Mr_Blobby

      It would be prudent to register, as a profit is looking like a sure bet.

      The Green Toss pot is right however. I remember many years ago getting shares in a power company WEL energy I think it was called. Thought it would be a good proposition to hold onto them long term. Then one day out of the blue a cheque turned up in the mail my shares had been compulsorily sold because some one had reached the 95% threshold to do so. I had absolutely no choice whatsoever they even set the price.

      Watching DonKey on TV the other night surrounded by his clapping surrender MonKeys, he looked very uncomfortable and unconvincing about the whole thing.

      • GregM

        You need to remember John Key (note the spelling, it’s not difficult) has to be very careful what he says due to securities laws.
        He sledged Corin Dann brilliantly on this very subject.

        • Mr_Blobby

          So you are more than happy with his stewardship of the economy, or in my opinion lack thereof.

          In my humble opinion, we are living in some sort of green muppet fantasy land were everything is just fine, no need to worry, we are the Government we are here to help you.

          Only problem is that we are borrowing $400 per household per week to fund the shortfall, funding that incurs interest, has to be paid back at some stage and because it was borrowed to pay for consumption give no return on investment.

          You are right it is not difficult, if you spend more than you earn the result will ultimately be sadness.

          • GregM

            Absolutely agree Mr B. If it was up to me there would be wholesale slash and burn of all “entitlements” until we are living within our means. Having said that. I do believe JK is the best option we have at the moment.

      • Gazzaw

        You can do better than DonKey Mr B. It’s redolent of the labour rent-a-writer mob that write to the Horrid on every conceivable occasion blaming the PM personally for everything from the price of bananas to the asteroid strike in Siberia. They use DonKey, ShonKey, MonKey ad fucken nauseum. Seems that ‘PM’ is beyond them. Didn’t think that it would be beyond you.

        • Mr_Blobby

          You forgot NonKey.

      • davcav

        So, with the government owning 51% the only entity that could do this is the government. If you owned shares in MRP and the government managed to get 95% back, would you be complaining?

  • Graham

    I really can’t see the point in holding an expensive tax payer funded non-binding referendum that won’t be held until after the shares are sold anyway.

    • Patrick

      As WO alludes to, their motivation is not entirely to stop the sales, they are using taxpayer funding to harvest details of voters throughout the country. They will keep banging on about the asset sales right up to the election & use the details of voters gathered for targeted campaigns.

  • sheppy

    Does anybody know the pre registration website address?

  • johnbronkhorst

    But I thought 80% were opposed to asset sales (mr shearer)? Couldn’t have been an exaggeration, could it?

    • AnonWgtn

      his information must be from another rogue poll !

  • Phar Lap

    Yet i heard that pest the Aussie Commie Norman,from the mcgillycuddy serious joke “Green Party” put the boot into the Nats for using taxpayer money to promote the share sales.WTF has that bunch of self styled unelected losers being doing on the claytons referenda for the last twelve month.Seems his party,s theft of taxpayer money for his wet dream cause is all okay.

    • Patrick

      What a dropkick Norman is – the taxpayer owns the shares, the taxpayer is selling the shares, the taxpayer wants to realise the maximum amount from the sale. Therefore the taxpayer would be stupid not to promote the sale.
      is norman suggesting that he would never use real estate advertising if he was selling his own home, he would be happy to take an inferior offer? The man is a first class tosser.

    • parorchestia

      He used parliamentary staff for nefarious purposes. Hypocrite.

  • lofty

    It is popular alright, I cannot get on to the pre – registration site as it is timing out, I presume it is because the site is overloaded with interest.

    I will keep at it though as we want to be in this for sure.

    Does anyone know the rules around NZ companies buying packages?

    • GregM

      I’m trying to find that out too. As a trust is allowed to purchase, I can’t see any difference between that and a NZ registered company, so it should be OK.

      • lofty

        Cheers Greg, I think we will use our directors trust anyway.
        I was just thinking as I was typing that, the fact that as company directors we have a trust must set lefties teeth on edge….;-)

        • GregM

          UPDATE:

          “If you intend to apply for Mighty River Power shares in the name of a
          trust, company, partnership or other entity, you will have to provide a
          declaration as to the place of incorporation of that entity and whether
          the majority of the ultimate beneficiaries (in the case of a trust) or
          the ultimate beneficial owners (in the case of a company or partnership)
          are New Zealand citizens or permanent residents.”

          Dead easy.

          • lofty

            you da man Greg.
            Cheers

    • Gazzaw

      Call a broker Lofty. In the interim just register as an individual.

  • cows4me

    Why does the left worry about asset sales? Have private property rights every been high on the moral list of the leftwing? If the real left were come to power in NZ shares would be basically worthless over night, nationalisation being the order of the day. Don’t think they wouldn’t try, this country is split by those that need government and those that do not, it wouldn’t take much of a nudge to those that do.

    • parorchestia

      I wonder. Remember the huge number of state assets sold by Labour. Shearer and his flock seem to have forgotten about that.

      • Gazzaw

        It’s called selective amnesia. Goff could never explain that away in the run up to the election. I’m not sure that Shearer has been asked that question yet. Maybe well overdue. Um, ah,um um ah…………..

      • blazer

        thats when lessons were learnt…not by the Natz it seems.

  • blazer

    guaranteed to be a stag’ IPO as the first cab off the rank.34% available to New Zealanders…whoopee…big commissions to Keys mates.So much for floating Solid Energy …its already a $400mil turd floating down the drain….thanks Don Elder,just another glaring example of an overpaid,underperforming ‘executive’.

    • johnbronkhorst

      Funny how all the trouble with solid energy started in 2007. Right around the time the greens and labour were spouting off about minimum percentages of biofuels in our petrol and diesel. We never had the capability to do it ourselves and would have had to import bio fuels from the destruction of Indonesian rain forest (funny contradiction by the greens there). Then suddenly solid energy are buying biofuel plants (in 2007) and the NZ public doesn’t find out for years how stupid a decision that was.

      • johnbronkhorst

        coincidence….perhaps???????…yeah right. A bit like the govt. dividend in electricity companies forcing the prices up 3% ahead of inflation year on year for 9 yrs, with no net increase in infrastructure.

      • In Vino Veritas

        JB, currency fluctuations and their effect on prices is beyond blazer. All he cares about is the fact that someone called “John Key’s Mates” will get some money for broking the deal. I expect blazer thinks like Labour and that any bloke off the street could do it.

        • blazer

          surely you jest!blaming currency fluctuations for Solid Energys woeful performance…competent CEO’s hedge and are aware of market forces.Not unusual to divert blame for hopeless overpaid half wits.

          • In Vino Veritas

            I don’t swear often blazer, but baa fucking hah!! Competent CEO’s hedge? You mean trade in the currency markets? You rail against banks and their financial instruments, then slag off a CEO because he may not have used hedging (he did, but hedges expire), a financial instrument You hypocritical twat.

          • blazer

            o.k you win…Elder is a marvellous CEO…someone to admire .Any success is owned by him,any failure its always someone elses fault.Such a common refrain…privatise profits…socialise losses.Taxpayer bailout…again!

          • In Vino Veritas

            I didnt mention anything about Elder being a marvellous CEO blazer. I did mention your hypocrisy.

            You are obviously young blazer. Since you don’t recall the baths the taxpayer used to take through the ’70’s and early 80’s with government owned businesses. Oh, and stupid. Solid Energy is a state owned enterprise, so it’s not being bailed out, it’ll have dividends paid returned.

          • blazer

            cant see any hypocrisy myself.You draw long bows all the time to support your spurious viewpoint.Solid Energy is an SOE needing lfe support…that will come from govt,which means funded by taxpayers,comprenez?Btw will the bonus payments be ….’returned’…wonder who really is stupid here!

          • In Vino Veritas

            Contract Law outside your grasp as well blazer. Sheesh.

          • blazer

            you’re so dry ,you cant even recognise sarcasm…you know,supposedly the lowest form of …wit.Dont catch fire soldier.

  • johnbronkhorst

    Appears currently, out of about 3300 polled…59% will be buying shares.

  • rockape

    Just cashed up my (not very profitable) kiwi saver. Any guesses where that’s going. Voted for it, National delivered it, stuff left wing wingers.

  • Gazzaw

    When is the next significant poll Cam? I believe that the MRP IPO will have a big effect on the figures. Given the very positive reaction to the issue it could be all bad news for the left.

  • Sir Cullen’s Sidekick

    Whale Oil – You better publish a new version of the Stuff Poll graphic!!!

    Pathetic losers of the left are now trying to bring in examples of Queensland rail shares programme which showed interest from million people and eventually 80,000 only bought shares. So the losers are saying that will be the case here too….

    I think Sheep’s reputation is badly damaged by the interest shown in the MRP share float. Even today’s cartoon makes fun of Sheep.

    However….however….Sheep will still end up as the PM in 2014 due to MMP…sorry about that folks….

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