IFT - Infratil

[LoungeLizard]

IFT official confirmation of the above two posts

IFT/Longroad now 'materially better off' under Trump's Big Beautiful Bill than previously anticipated.

https://www.nzx.com/announcements/454796

Should help settle market jitters (although down a fraction today) and I like the positive note about current (and possible future) projects being "safe-harboured under the legislation.
IFT well positioned to outlast the effect of Trump I feel.

[Dolcile]

CEO still buying, this time another $500k.

[Left Field]

CEO still buying, this time another $500k.

Very reassuring that he's still buying at prices well above my average holding SP. 

[Dolcile]

I purchased some more IFT today as prices below Jason :-)

From the other channel, IFT to join the ASX200

https://cdn-api.markitdigital.com/apiman-gateway/ASX/asx-research/1.0/file/2924-02967778_PS-6A1273109&v=4a466cc3f899e00730cfbfcd5ab8940c41f474b6

[Dolcile]

Up 3.5% in early trading. Index bump perhaps.

[Dolcile]

Now 8%

[Dolcile]

Still strong demand for IFT

[LoungeLizard]

Still strong demand for IFT

Yep, they might have a future after all. Who knew?

[Dolcile]

Did anyone attend the presentation hosted by Sharesies? I couldn't make it. 

[Left Field]

IFT's Longroad well positioned (as is IKE)

https://finance.yahoo.com/news/big-tech-is-power-hungry-and-americas-aging-grid-cant-keep-up-090045961.html

Each year, PJM holds a capacity auction to determine the lowest pay-rate energy producers are willing to accept from the grid operator to guarantee that they will be ready to provide power at any time during the delivery period covered by the auction, usually several years out.

In this summer's auction, generators offered an additional 2,669 megawatts of power supplies to be added through infrastructure upgrades and new builds.

It was the first time in the past four auctions that new capacity was added. But the additions only meet around half of the demand PJM is expecting to see over the coming three years. That impact will show up in Americans' electricity bills.

In PJM's 2024 auction, the utility's clearing price — the end price that determines what it has to pay all participating power generators — was $269.92 per megawatt-day, an 800% increase from the previous year.

(ps nice to see IFT SP edging above $12.00. again...... onwards and upwards.)

[Left Field]

IFT sells Retire Australia for $845 Mill.....this move well signalled in recent S/H meetings......... book loss of circa $80 Mill......"When Infratil made its initial investment of A$215 million in December 2014,( it's )market capitalisation was NZ$1.6 billion. With a market capitalisation now exceeding
NZ$11 billion, and despite a positive outlook for the business, it is increasingly difficult for an investment of this size to deliver meaningful
returns for Infratil shareholders.

Infratil and the New Zealand Superannuation Fund (NZ Super) have entered into
a binding agreement to sell their 100% interest in RetireAustralia to Invesco
Real Estate, the global real estate investment business of Invesco Ltd., for
A$845 million.

Infratil and NZ Super each own a 50% interest in
RetireAustralia with both shareholders' interests managed by global
infrastructure investment manager Morrison. The transaction is subject to
the satisfaction of a limited number of conditions, including FIRB approval,
and is expected to complete in the final quarter of the 2025 calendar year.
At completion, Infratil expects to receive proceeds of approximately A$300
million (NZ$328 million), with final proceeds to be adjusted for transaction
costs and completion adjustments. Jason Boyes, Infratil Chief Executive,
said: "RetireAustralia is a quality business in a strong position for future
growth under Invesco's ownership. "Since Infratil's initial investment in
2014, RetireAustralia has undergone significant change, including the
appointment of new leadership, a refreshed strategy, and a strengthened
development pipeline. Unfortunately, over the same period, the sector has
faced a number of challenges, which have contributed to us not being able to
fully realise our ambitions for the RetireAustralia business.

"RetireAustralia is ably led by Chief Executive Dr Brett Robinson, and I'd
like to acknowledge and thank the management team for their ongoing
leadership and contribution to Australia's Retirement Living Sector." As
at 31 March 2025, the carrying value of Infratil's investment in
RetireAustralia was NZ$404 million, with the transaction expected to result
in an accounting loss on sale of approximately NZ$80 million.

The forecast sale proceeds are expected to preserve almost all contributed capital when
taking into account capital contributed and distributions received,
delivering an internal rate of return (IRR) close to nil over the ~11 year
holding period.

Although at a loss, the decision to sell RetireAustralia
is consistent with the strategy outlined at our full-year result, where we
indicated our intention to divest businesses unlikely to scale under our
ownership to increase balance sheet flexibility for reinvestment. Further
work toward our $1 billion divestment target continues.

When Infratil made its initial investment of A$215 million in December 2014, our market
capitalisation was NZ$1.6 billion. With a market capitalisation now exceeding
NZ$11 billion, and despite a positive outlook for the business, it is
increasingly difficult for an investment of this size to deliver meaningful
returns for Infratil shareholders. The transaction also results in a
forecast negative realised incentive fee of approximately NZ$21 million in
relation to RetireAustralia as at 31 March 2026, which is expected to be
offset against other incentive fees at that time.

[winner (n)]

This bit is telling and a reflection of the state of the retirement sector -

delivering an internal rate of return (IRR) close to nil over the ~11 year
holding period.

[Basil]

It could have been worse, they could have bought a stake in 2014 in RYM at $8.50  ...or they could have bought SUM and tripled their money.
Just posted a presentation of Kingfish annual meeting and the manager explained why they exited.

[Left Field]

IFT confirms what was indicated in recent investor update meetings re Longroad and USA tax credits.

https://www.nzx.com/announcements/456901

"Longroad remains well positioned to meet its medium term target of having an 8.5 GW fleet built or in construction by then end of the 2028 financial year. The guidance provides workable timelines for utility-scale projects and preserves flexibility for distributed generation, supporting continued development momentum."


Market seems to like the confirmation so far today.

[Left Field]

Old news rehashed  as Amazon Web Services launches/opens its NZ Data centres.... no mention of IFT or CDC, no mention of locations.....however One NZ is detailed in the impressive client list!?

https://www.geekzone.co.nz/content.asp?contentid=27213

"....As part of its long-term commitment, Amazon is planning to invest more than NZ$7.5 billion in New Zealand to support the construction, connection, operation, and maintenance of its data centers in the country.
 
"The new AWS Region in New Zealand will help serve the growing demand for cloud services across the country and empower organizations of all sizes to accelerate their digital transformation," said Prasad Kalyanaraman, vice president of Infrastructure Services at AWS. "With this launch, businesses can now leverage advanced AWS technologies, from core cloud capabilities to artificial intelligence and machine learning, all while meeting local data residency requirements. By investing in New Zealand's digital infrastructure, we're proud to support the country's economic growth, foster innovation, and help position it as a technology hub in the Asia Pacific region."....

...Organisations in New Zealand that choose AWS to run their workloads include AMP New Zealand, AsureQuality, Contact Energy, Education Perfect, Foodstuffs South Island, Halter, Kiwibank, MATTR, Mercury NZ, Les Mills, Ministry of Transport, Mitre 10 New Zealand, New Zealand Post, One New Zealand, Sharesies, Steel & Tube Holdings, Toitū Te Whenua Land Information New Zealand, TradeMe, TVNZ, University of Auckland, Vector, Wellington City Council, Xero, and more...."