IFT - Infratil

[Left Field]

IFT looking to crack $10

SP showing little weakness after the recent cap raise.  Recent 'investor days' up and down the country well received.

This interview by Craigs reveals the confidence of the CEO who has been building v big personal stake. https://www.youtube.com/watch?v=_sQQkqkl2yI

[Left Field]

Successful cap raise..... with an additional $85 mill raised.

https://www.nzx.com/announcements/413977

The Retail Offer received strong support from eligible shareholders, with Infratil receiving valid applications totalling NZ$320 million [1][2][3]. Applications were received from 27,983 eligible shareholders with an average application of approximately NZ$11,447, representing a higher participation level than Infratil's 2020 share purchase plan (10,829 shareholders).

In recognition of the strong support from retail shareholders and the desire to, as far as is practicable, allow shareholders to maintain their proportionate ownership following the equity raising, Infratil has elected to increase the size of the Retail Offer. Infratil is accepting an additional NZ$85 million[1][2] of subscriptions, bringing the total amount raised under the Retail Offer to NZ$185 million[1][2].

A total of approximately 20,095,000 new fully paid Infratil ordinary shares will be issued under the Retail Offer at the issue price of NZ$9.20 per share (or A$8.47044 per share for ASX Retail Offer applicants[2]), being the price at which shares were issued in the placement announced on Wednesday, 7 June 2023.

[Left Field]

IFT looking to crack $10

Ended above $10 today and reached an all time high in the process. Naaice.

[Crackity]

Ended above $10 today and reached an all time high in the process. Naaice.

Got an email this afternoon from IFT - June 2023 Update - doesn't seem to have been released to NZX



In the last month we have also completed the largest equity raise in our history, raising $935 million, with the capital raise strongly supported by investors. The additional capital was deployed towards our acquisition of the additional stake in One NZ and will also provide flexibility to support our attractive pipeline of investment opportunities. Allotment of the new shares under the Retail Offer is expected to occur on the NZX and ASX on Tuesday, 4 July.

Across our portfolio

UK based Kao Data has announced plans for a new 40MW data centre in Manchester. Following the acquisition of two new data centres last year, the move represents the next phase in the continued expansion of the Kao Data platform, with Manchester named as the first of its new Tier II locations in Europe.

The new data centre, which is planned to become operational in late 2025, will provide space for nine data halls, creating a leading infrastructure hub to support Greater Manchester's growing technology ecosystem and the UK's largest high-performance computing and artificial intelligence sectors outside of London and the Oxford-Cambridge arc.

RetireAustralia accomplished an important milestone last week with Stage 2 of The Verge, a premium retirement living village overlooking Burleigh Golf Course on the Gold Coast, reaching practical completion. This marks the start of a busy period in the village as the team prepares to welcome new residents to their community over the next three weeks.

Wellington Airport has welcomed the news that the Wellington to Brisbane Qantas service will return in October. The daily service will begin operating year-round on 29 October, restoring a service that was last operated seasonally in 2015. The new service follows Fiji Airways increasing its Wellington-Nadi flights to three or four per week, and Jetstar increasing its service to the Gold Coast to four times per week during peak months.

International passenger numbers at Wellington Airport are now back to around 76% of pre-Covid numbers.

Longroad Energy announced the sale of its 108MW Foxhound Solar project in April. Foxhound, located in Halifax County, Virginia, has reached full notice to proceed and has begun construction. The project has been in development for six years and will produce enough clean energy to power more than 17,000 homes. Financial close of the Foxhound acquisition is expected upon mechanical completion of the project which is anticipated for January 2024.

Closer to home, Manawa Energy has secured the rights to develop a circa 230MW wind generation project in the central North Island, between Taihape and Waiouru. If it proceeds, the wind development is expected to generate enough power for 100,000 average New Zealand homes. Design work on what the wind farm might look like has not been completed, but the site had previously been consented for around 50 wind turbines across 47 square kilometres of privately owned rural land.

Finally, we have just completed our 2023 Retail Investor Roadshow across 15 towns and cities. Over the last three weeks we have presented to almost 2,000 investors. Thank you to all investors who were able to attend one of these presentations.

For additional updates, you can also follow Infratil on LinkedIn.


Infratil Email Updates are sent to interested shareholders, analysts, brokers and other parties who have registered their interest on infratil.com. Unsubscribe from this mailing list.

[Left Field]

S/Holders happy with IFT's cap raise, at today's close they had unrealised gains of over a $1.00 for each share allocated.

Much better than some other recent cap raises.....

[Left Field]

Impressed by IFT's growing telecommunications/IT  presence via One NZ and data centres and now this....

https://www.nzx.com/announcements/414461

Infratil Limited ('Infratil') (NZX/ASX: IFT) is pleased to announce that it has executed a conditional agreement with HKT Trust and HKT Limited ('HKT') (SEHK:6823), a leading telecommunications company in Hong Kong, to establish a strategic partnership to accelerate the growth of its Console Connect business ('Console Connect').

Console Connect is a top-3 global software-defined interconnection platform offering next-generation automated connectivity solutions. The Console Connect platform makes connecting to data centres, partners, clouds, and other applications simple and secure, with fully automated switching and routing.

Console Connect owns its global IP network which has been developed over many years and has been a top 10 Tier 1 network globally for the last 5 years, serving ~17% of all internet traffic and reaching over 150 countries. Integration with an owned Tier 1 IP network, as well as long-term integrated access to a global backbone network, provides a clear point of differentiation for Console Connect given its extensive network coverage and superior unit economics.

Infratil will initially acquire an 80% stake in Console Connect from HKT for US$160 million. Infratil will also enter into a strategic partnership with HKT, with both jointly investing up to US$295 million over a 2-year period following completion of the acquisition to accelerate Console Connect's growth

[Left Field]

Historic issue with Vodafone and 'misleading conduct' earns a hefty fine, I hope IFT's purchase agreement allowed for this possibility!

https://www.odt.co.nz/business/one-nz-slapped-record-fine-'misleading-conduct'

Not a good look.

[Left Field]

ASM presentation for todays meeting.....

http://nzx-prod-s7fsd7f98s.s3-website-ap-southeast-2.amazonaws.com/attachments/IFT/416546/400584.pdf

"FY2024 Proportionate EBITDAF guidance range remains unchanged at $800 million – $840 million
First quarter trading performance from key portfolio companies provides confidence that FY2024 earnings are tracking towards the top half of the range."

So.... FY 24 forecast EBITDAF = (say) $820 mill v LY $531 mill.......Crikey that's an increase of over 50%!

Seems IFT poised for growth.

[Left Field]

At yesterdays ASM one of the key risks identified by the CEO was the risk of access to sufficient capital to allow IFT to take advantage of opportunities and growth potential that it sees ahead.  (17% gearing currently with over 1.1 Billion in Bank debt available to it.)

In the light of this it is interesting to see todays announcement of a 20 million share buyback.

"Infratil announces its intention to buy back ordinary shares pursuant to
Rules 4.14.1(a) and 4.14.1(b)(ii) on the basis outlined in the Notice of
Meeting for the 2023 Annual Meeting ("Notice of Meeting").

The buybacks may take place during the period from 18 August 2023 and 19 July
2024. Shares may be bought on-market or off-market, but the combined total
of on-market and off-market purchases will not exceed 20,000,000 ordinary
shares. On-market buybacks will only take place on the NZX Main Board, not
the ASX."

[Bob50]

Offering Details
Maturity Date: Saturday, 15 March 2031
Minimum Investment: NZ$5,000 and multiples of NZ$1,000 thereafter
Statement Request Code: IFT340

Details
Infratil Limited (IFT) has opened an offer of 7½ year unsecured, unsubordinated, fixed rate infrastructure bonds (IFT340).  IFT is a holding company therefore bondholders have no claim or recourse to the assets of IFT subsidiaries or associates. In the event of the liquidation of IFT, bank indebtedness, secured creditors and creditors preferred by law, rank ahead of IFT bondholders.

IFT is an NZX listed holding company specialising in long-lived, growth infrastructure assets. IFT's Portfolio is invested 65% into Digital Infrastructure, 17% Renewables, 11% Healthcare, and 6% Airports. Infratil will use the net proceeds of the Offer for general corporate purposes, including to repay a portion of Infratil's existing bank debt bridge facility put in place to fund the acquisition of One New Zealand.
Here I am buying Genesis shares as a long term dividend (trap) income stream.
But this offer look appealing.
I have never considered bonds before.
 

All New Zealand resident clients of Jarden Direct can participate in the Offer.
 
- Final bids for the Offer are due: 9:30am Friday, 1st September 2023
- Minimum interest rate: 7.05% pa
- Indicative issue margin: 2.40% to 2.55% pa*
- Indicative issue yield: 7.24% to 7.39% pa*
- Issue/Settlement date: Friday, 15 September 2023
- No brokerage will be charged on the offer

[Basil]

This might spark up some interest for Infratil shareholders
https://www.harbourasset.co.nz/research-and-commentary/longroad/

[LoungeLizard]

This might spark up some interest for Infratil shareholders
https://www.harbourasset.co.nz/research-and-commentary/longroad/

Cheers Basil. I have a modest holding from way back and over the years the returns have been stellar. Not for the dividend hounds but IFT are one of the best - if not the best - defensive stocks on the NZX.

[Hectorplains]

Andrew Carroll, eh.  A safe pair of hands or is there a concern he was effectively restructured out of Chorus?

[PunchCard]

Andrew Carroll, eh.  A safe pair of hands or is there a concern he was effectively restructured out of Chorus?

Andrew Carroll navigated Chorus through a challenging period on uncertain regulatory as CFO. It was likely a challenging role and perhaps (speculation) he decided to step down from CFO back in 2018 into a GM role? I should also note he stepped up again as acting CFO of Chorus in 2022 when the then CFO resigned from Chorus.

I reckon Phillippa Harford did a great job at Infratil as CFO and wish her all the best in her future endeavours. 

[Left Field]

https://www.nzx.com/announcements/420951

Infratil advises that U.S. based renewable energy developer, owner and
operator, Longroad Energy, has achieved financial close and commencement of
construction of Sun Streams 4, its 377 MWdc PV and 300 MWac / 1200 MWh
storage project. Sun Streams 4 is Longroad's largest solar and storage
project to date and is the company's third project in its Sun Streams complex
based in Maricopa County, Arizona. Commercial operations for Sun Streams 4
are currently expected by mid-2025.

Sun Stream 4's total output, enough to power 120,000 homes, will be purchased
by Arizona Public Service ('APS') via a long-term Power Purchase Agreement
('PPA'). The project will help support system reliability in Arizona,
particularly during the peak demand summer months.