GOVERNMENT BUYBACK MAKES QR NATIONAL SHARES SOAR

Written on the 8 October 2012

GOVERNMENT BUYBACK MAKES QR NATIONAL SHARES SOAR

THE Queensland Government’s plan to sell $1.5 billion of QR National (QRN) shares today has sparked an instant reaction to the ASX-listed freight company’s share price.

QRN shares rose nearly 5 per cent to $3.64 per unit, valuing the Newman Government’s remaining stake at about $1.35 billion.

“The $1.5 billion sale represents a gain of around $400 million to Queensland’s bottom line since the initial public offer,” says State Treasurer Tim Nicholls (pictured).

The deal involves selling more than $1 billion of shares via a selective buyback to QRN plus a $500 million placement to cornerstone investors.

QRN managing director and CEO Lance Hockridge reveals the buyback will help expedite capital management initiatives, provide greater certainty than the existing on-market buyback program and bring more immediate earnings per share to shareholders.

“The selective buyback is not expected to inhibit QRN’s participation in available growth opportunities in the future,” he says.

The on-market buyback will be suspended pending shareholder approval of the proposed selective buyback and, if the selective buyback is approved by shareholders, it will replace the on-market buyback.


Latest News

ACCC GIVES GO-AHEAD FOR NEWS CORP TO BUY ARM

NEWS Corporation (ASX: NWS) has been given the green light to acquire Australian Regional Media (ARM) from APN New...

ENTREPRENEUR'S NEW VENTURE SWEET AS 'HONEE'

A MELBOURNE entrepreneur hailing from the food tech scene has launched a new venture to change the face of beauty....

WATER VENTURE TAKES ON THE PLASTIC SCOURGE

DAMIEN Stone has a thirst to build the world's biggest social enterprise in a clean fight against the plastic ...

BUNNINGS BOSS JOHN GILLAM QUITS WESFARMERS

THE man behind Bunnings' home improvement domination has resigned from his role in charge of the retailer.

...

Related News

HOW MCDONALD'S AUSTRALIA REDISCOVERED ITS INNOVATIVE SPIRIT

MCDONALD'S is such a ubiquitous part of the Australian landscape today that it is easy to forget how it change...

JB HI-FI IS THE GOOD GUY IN $870 MILLION ACQUISITION

ELECTRONICS giant JB Hi-Fi has formally completed its $870 million acquisition of home appliance chain The Good Gu...

ACCC ACTS AGAINST MERITON'S RIGGED REVIEWS

MERITON Property Services is under fire from Australia's main consumer watchdog, after it allegedly engaged in mi...

ACCC FIRES WARNING SHOT TO IVF PROVIDERS

IVF clinics have been put on notice by consumer watchdog, the Australian Competition and Consumer Commission (ACCC...

Contact us

Email News Update Sign Up Contact Details

Subscribe to our mailing list

* indicates required
Email Format

PO Box 2087
Brisbane QLD 4001

LoginTell a FriendSign Up to Newsletter