Hon Bill English
Minister of Finance
Hon Todd McClay

Minister for State Owned Enterprises

31 October 2016

Kiwibank ownership changes welcomed

The NZ Super Fund and the Accident Compensation Corporation’s purchase of minority stakes in Kiwibank has been welcomed by Finance Minister Bill English and State Owned Enterprises Minister Todd McClay.

“The deal keeps Kiwibank in public ownership and gives the bank access to additional sources of capital,” Mr English says.

“It also returns a dividend of about $200 million to the Government which can be used for other high priorities.”

Under the terms of the deal, NZ Post has sold a 25% shareholding in Kiwibank to the Super Fund and a 22% shareholding to ACC. The remaining Kiwibank shares are retained by NZ Post. NZ Post, the NZ Super Fund and ACC are all owned by the Crown.

Mr McClay says the deal recognises that the business operations of NZ Post and Kiwibank are at very different stages of development.

“The transaction will result in a greater separation of NZ Post’s and Kiwibank’s operations and will allow the boards and management of both businesses to focus on their respective markets.”

ends

© Scoop Media