INFRASTRUCTURE (ECONOMICS) – AUSTRALIA

Charter Hall tipped to pay $A250 million for Hastings

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Original article by Nick Lenaghan, Matthew Cranston
The Australian Financial Review – Page: 32 : 25-Jul-17

Charter Hall Group and Westpac have reported that they are in discussions with a view to the former buying Westpac’s Hastings Funds Management business. Hastings, which was started by former Carlton football player Mike Fitzpatrick, has an infrastructure portfolio valued at $A14.3 billion, with investments in assets such as the port of Newcastle and Perth Airport. Experts suggest that Charter Hall will have to pay about $A250 million for Hastings.

CORPORATES
CHARTER HALL GROUP – ASX CHC, WESTPAC BANKING CORPORATION – ASX WBC, HASTINGS FUNDS MANAGEMENT LIMITED, CARLTON FOOTBALL CLUB LIMITED, QIC LIMITED, AMP CAPITAL INVESTORS LIMITED, BROOKFIELD CAPITAL MANAGEMENT LIMITED

RBA: road and rail a house price fix

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Original article by Jacob Greber, Mark Ludlow
The Australian Financial Review – Page: 1 & 4 : 5-May-17

The Australian Government’s May 2017 Budget is tipped to include funding for road and rail infrastructure, as part of its policy on housing affordability. Reserve Bank governor Philip Lowe says improved transport infrastructure is the best way to making housing more affordable. He adds that the Australian Prudential Regulation Authority’s move to crack down on lending to property investors is intended to provide "breathing space" to allow the supply-demand imbalance to correct itself, rather than being aimed at reining in house price growth.

CORPORATES
RESERVE BANK OF AUSTRALIA, AUSTRALIAN PRUDENTIAL REGULATION AUTHORITY

DUET investors buoyed by CKI’s $7.3b offer

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Original article by Angela Macdonald-Smith
The Australian Financial Review – Page: 11 & 24 : 6-Dec-16

Shares in DUET Group closed at $2.74 on 5 December 2016, after reaching an intra-day high of $A2.82. Hong Kong-based Cheung Kong Infrastructure has proposed to pay $A3 per share for the energy infrastructure group, whose assets include the Dampier-Bunbury gas pipeline in Western Australia. However, DUET has noted that the offer is unsolicited and not binding, and there is no certainty that CKI will make a formal bid. Mark Busuttil of JP Morgan says the offer represents full value and a rival bid is unlikely.

CORPORATES
DUET GROUP – ASX DUE, CHEUNG KONG INFRASTRUCTURE HOLDINGS LIMITED, JP MORGAN AUSTRALIA LIMITED, RARE INFRASTRUCTURE, ARGO INVESTMENTS LIMITED – ASX ARG, UNISUPER LIMITED, RBC CAPITAL MARKETS, 4D INFRASTRUCTURE PTY LTD, CITIGROUP PTY LTD, AUSGRID PTY LTD, STATE GRID CORPORATION OF CHINA, AUSTRALIA. DEPT OF THE TREASURY

OECD urges interest rate hikes in 2017

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Original article by Jacob Greber
The Australian Financial Review – Page: 1 & 4 : 29-Nov-16

The OECD states in its latest global economic outlook that the Reserve Bank of Australia is likely to begin increasing official interest rates in late 2017. It also argues that the prospect of rate rises in the US will allow the RBA to act without any concern about putting upward pressure on the Australian dollar. Meanwhile, the OECD forecasts that Australia’s economic growth will rise toward three per cent in 2018, while it concludes that there is still scope for the Federal Government to increase spending on infrastructure projects.

CORPORATES
ORGANISATION FOR ECONOMIC CO-OPERATION AND DEVELOPMENT, RESERVE BANK OF AUSTRALIA, AUSTRALIA. DEPT OF THE TREASURY

Security ‘key to foreign investing’

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Original article by Brendan Nicholson
The Australian – Page: 2 : 18-Jan-16

Offshore investment in key Australian infrastructure is under scrutiny in the wake of the Northern Territory Government’s deal to lease the Port of Darwin to a Chinese company. The Australian Strategic Policy Institu­te’s submission to a Senate inquiry argues that the existing procedures for assessing proposed foreign investments are insufficient. It adds that while Australia must continue to welcome offshore investment, the question of national security must be given precedence.

CORPORATES
AUSTRALIAN STRATEGIC POLICY INSTITUTE LIMITED, AUSTRALIA. FOREIGN INVESTMENT REVIEW BOARD, AUSTRALIA. NATIONAL SECURITY COMMITTEE, PORT OF DARWIN, LANDBRIDGE GROUP COMPANY LIMITED, AUSTRALIA. SENATE STANDING COMMITTEE ON ECONOMICS, AUSTRALIA. DEPT OF DEFENCE, AUSTRALIAN SECURITY INTELLIGENCE ORGANISATION, AUSTRALIA. DEPT OF THE PRIME MINISTER AND CABINET, UNITED STATES. EXECUTIVE OFFICE OF THE PRESIDENT, AUSTRALIA AND NEW ZEALAND BANKING GROUP LIMITED – ASX ANZ

Corrigan swoops on Asciano

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Original article by Jenny Wiggins, Anthony Macdonald, Sarah Thompson
The Australian Financial Review – Page: 1 & 12 : 30-Oct-15

Brookfield Infrastructure Partners’ $A8.9bn takeover bid for Asciano has received a setback after Qube Holdings lifted its stake in the target from around five per cent to 19.9 per cent on 29 October 2015. Qube paid $A8.80 per share, compared with Asciano’s closing price of $A7.56. Qube has declined to comment on its intentions regarding Asciano, but it opposes the Brookfield bid and is believed to be planning to break up Asciano and retain its ports division.

CORPORATES
ASCIANO LIMITED – ASX AIO, QUBE HOLDINGS LIMITED – ASX QUB, BROOKFIELD INFRASTRUCTURE PARTNERS LP, PATRICK CORPORATION LIMITED, PACIFIC NATIONAL PTY LTD, UBS HOLDINGS PTY LTD, AURIZON HOLDINGS LIMITED – ASX AZJ, AUSTRALIAN COMPETITION AND CONSUMER COMMISSION, RBC CAPITAL MARKETS, CREDIT SUISSE (AUSTRALIA) LIMITED

China summit to help build two-way silk road

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Original article by Greg Earl
The Australian Financial Review – Page: 8 : 28-Aug-15

China wants to link its "silk road" infrastructure scheme with the Abbott Government’s plans to develop northern Australia. It sees Australia as one end of a maritime link in its ambitious One Belt One Road program to stimulate economic activity in Asia and the Pacific. Cooperation was discussed by Chinese and Australian ministers at a strategic economic dialogue in Canberra.

CORPORATES
FAIRFAX MEDIA LIMITED – ASX FXJ, CHINA. ECONOMIC PLANNING COMMISSION, CHINA UNION PAY, BANK OF CHINA GROUP, CHINA EASTERN AIRLINES CORPORATION LIMITED

Canadians pay up big for Asciano

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Original article by Jenny Wiggins
The Australian Financial Review – Page: 1&8 : 19-Aug-15

The board of Asciano has issued a recommendation to investors to accept a takeover offer from Brookfield Infrastructure. Investors will receive $A9.15 a share if the $A8.9 billion bid for the Australian-listed port and rail group is successful. Some fund managers doubt whether losing another Australian company to foreign buyers is in Australia’s interest.

CORPORATES
BROOKFIELD INFRASTRUCTURE PARTNERS LP, ASCIANO LIMITED – ASX AIO, PATRICK CORPORATION LIMITED, RIO TINTO LIMITED – ASX RIO, MACQUARIE GROUP LIMITED – ASX MQG, BHP BILLITON LIMITED – ASX BHP, TOLL HOLDINGS LIMITED, SABMILLER PLC, JAPAN POST COMPANY LIMITED, COLONIAL FIRST STATE GLOBAL ASSET MANAGEMENT, ARGO INVESTMENTS LIMITED – ASX ARG, ASX LIMITED – ASX ASX, AUSTRALIAN COMPETITION AND CONSUMER COMMISSION

Water assets next targets to be privatised

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Original article by Jenny Wiggins
The Australian Financial Review – Page: 15 : 27-Jul-15

Graeme Samuel will use an Infrastructure Partnerships Australia symposium to argue the case for selling government-owned assets such as water utilities. He strongly supports the privatisation of assets such as dams, water pipes and desalination plants, but concedes that it is a politically sensitive issue. Infrastructure Partnerships Australia CEO Brendan Lyon also believes that privatization of water assets is necessary, and suggests that they are an ideal investment for superannuation funds.

CORPORATES
INFRASTRUCTURE PARTNERSHIPS AUSTRALIA, AUSTRALIAN COMPETITION AND CONSUMER COMMISSION

Brookfield pressed on Asciano bid

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Original article by Perry Williams, Sarah Thompson, Anthony Macdonald
The Australian Financial Review – Page: 1 & 10 : 2-Jul-15

Australian-listed transport infrastructure group Asciano has advised that Canada’s Brookfield Asset Management made an indicative takeover offer on 26 June 2015. The $A9bn non-binding bid values the target at $A9.05 per share, but Jakov Males of UBS Global Asset Management believes that an offer of around $A10 per share would be more appropriate. The proposed takeover bid comprises a cash component and shares in Brookfield Infrastructure Partners.

CORPORATES
ASCIANO LIMITED – ASX AIO, BROOKFIELD ASSET MANAGEMENT INCORPORATED, BROOKFIELD INFRASTRUCTURE PARTNERS LP, UBS GLOBAL ASSET MANAGEMENT (AUSTRALIA) LIMITED, DEUTSCHE BANK AG, FIDELITY INVESTMENTS AUSTRALIA LIMITED, SABMILLER PLC, FOSTER’S GROUP LIMITED, TOLL HOLDINGS LIMITED, JAPAN POST COMPANY LIMITED, MULTIPLEX LIMITED, PACIFIC NATIONAL PTY LTD, PATRICK CORPORATION LIMITED, COLONIAL FIRST STATE GROUP LIMITED, GOLDMAN SACHS AND PARTNERS AUSTRALIA PTY LTD, GRESHAM PARTNERS LIMITED, CITIGROUP INCORPORATED