AGL says will only buy NSW State electricity assets if can make large profits, for current investors |
First 12 of 12 paragraphs shown Profits for shareholders was the most important thing, and no open share issue was planned, Michael Fraser, Managing Director, AGL, told the market as AGL analysts rummaged in the NSW Treasury data room as a dominant bidder in the NSW sale process for Energy Australia, Country Energy, and Integral, and generators Delta, Macquarie and Eraring. AGL already a superpower: In this hint of call for sweetheart deals from a now frantic NSW government - AGL, a dominant retailer and generator in the South East Australian market stands to control much iod the Australia electricity universe. In 2010 for example it had made 13 per cent profit on 3.5 million retail energy customers. Like Scrooge McDuck in the data room: Fraser said “Rigorous financial discipline” was the approach to the AGL team’s approach to the data room - which opened abotu 5 weeks ago, on 1 July 2010 Bids due 1 November 2010: The Government intent was successful bids announced Late-2010. However the NSW State pattern was one of repetitive delays. AGL wants to get bigger: It was a cane-toad approach to electricity; Fraser spoke of the ”Potential opportunity to increase scale in both retail and generation”. But only, if it make lots of money: The AGL plan was: - bid for assets if accretive to shareholders; - any raising was as a rights issue; and - to favour existing shareholders; with a - keep a BBB credit rating ...Log in to read rest of Article or image. |