Chunky Infratil trade sees 1.3% of company change hands near 7-year high

A large trade in Infratil shares this morning has seen more than 1.3 percent of the utilities and airport investor change hands in a single trade, as the stock hovers near a seven-year high.

A single trade of 7.5 million shares of the Wellington-based company at $2.95 apiece this morning changed hands for an aggregate $22.1 million, according to Reuters data. That's below yesterday's $3.02 closing price, which was 1 cent shy of the stock's highest level since October 2007. The 90-day average trading volume in Infratil shares is about 770,000.

The purchase would make the new investor at least the 14th largest shareholder, in a share register that counted 15,591 investors as at May 19, according to Infratil's 2014 annual report.

A smaller trade of 750,000 shares at the same price, worth $2.2 million, followed, according to Reuters data.

In October, JML Capital, an entity related to HRL Morrison & Co chief investment officer Lib Petagna, sold 3 million shares on market, reaping $8.43 million, according to a notice to the stock exchange at the time. JML held 11.42 million shares as at May 19, or 1.95 percent of the company, according to Infratil's annual report.

Accident Compensation Corp's investment portfolio later emerged as the major buyer, purchasing 2.7 million shares for $7.6 million, and taking its stake in Infratil to 9.9 percent from 8.9 percent, according to notices lodged with the NZX.

In September, about 1.5 percent of the company, or 8.5 million shares, worth $23.7 million changed hands.

Infratil shares last traded at $2.99 and have gained 30 percent over the past six months, in part driven by an election surge which returned the incumbent National Party, returning Prime Minister John Key and his government for a third term. The election win shut down the threat of regulation to the energy sector, which Infratil is exposed to through its TrustPower investment, which had been a cornerstone policy for opposition parties in trying to drag down power prices for consumers.

(BusinessDesk)