The government announced about an hour ago, that it has suspended the share offer for Mighty River Power until tomorrow, while it devises a supplementary disclosure in the light of the Labour-Green NZ Power policy.
Monday, 22 April 2013, 4:05 pm
Press Release: New Zealand Government
Minister of Finance Hon Bill English
Hon Tony Ryall Minister for State Owned Enterprises
22 April 2013 Media Statement
Government files supplementary disclosure on Mighty River Power
The Government and Mighty River Power are filing a supplementary disclosure to the Mighty River Power offer document, say Finance Minister Bill English and State Owned Enterprises Minister Tony Ryall.
The document is being lodged with the Registrar of Financial Service Providers this afternoon.
“The existing MRP offer document already outlined the principal risks associated with an investment in MRP shares,” Mr English says. …
As a consequence of the rules governing supplementary disclosure, the share offer website has been temporarily suspended until tomorrow morning when it will re-open with the new disclosure added, but with all other details of the offer remaining the same, including the closing time of 5pm on Friday 3 May.
“The rules also require that New Zealanders who have already applied for shares may withdraw their applications if they choose. Withdrawals will be accepted for five working days.
The government looks to be on the back foot now, in so many ways. Now is the time to show your displeasure of the asset sales plans, and to say loudly
THERE ARE ALTERNATIVES!
Update: Labour’s Clayton Cosgrove responds to Key’s criticism of NZ Power as being a “step backwards”:
While Key tried to avoid commenting on whether the policy proposals would affect Mighty River’s value, he warned the policy would have wider implications for investment in New Zealand.
”People will think twice about investing in a country where the Government can turn around and change the rules on you overnight.”
Labour SOE spokesman Clayton Cosgrove said the party had been responsible because it had written to the Government and Mighty River’s directors advising them to consider a supplementary disclosure.
“Investors need time to consider the changes we are proposing. National would be well advised to stop repeating its wild and silly accusations of socialism and communism and let cool heads prevail. The ridiculous allegation of economic sabotage has been demolished,” Cosgrove said.
Yes,. Well said by Cosgrove. And it needs to be repeated again and again that the red scare-mongering of the Nats is wild, and panicky.