CBA sells Loy Yang stake
(31 July 2006 – Australia) Commonwealth Bank has sold its 15.2 percent stake in the Loy Yang A (LYA) power station and mine to Transfield Services and three superannuation funds, Statewide Superannuation Trust, Westscheme and MTAA Super, for A$179.8 million.
CBA held a 15.2 percent stake in Great Energy Alliance Company (GEAC), which owns Loy Yang and 22.5 percent of Loy Yang Marketing Holdings, which performs the energy dispatch and trading functions for LYA.
The bank played a key role in establishing GEAC alongside AGL, the Tokyo Electric Power Company and several institutional investors. CBA was sponsor and joint financial adviser to the consortium when it acquired LYA in April 2004.
"This transaction continues our successful infrastructure strategy as we further our infrastructure activities both in Australia and overseas," CBA general manager Infrastructure and Utilities Solutions Group, Geoff Meulman, said.
"By combining the bank’s industry expertise with our full range of financial products and access to capital markets, we are able to create superior results for all participants," he said.
He said the bank believed LYA made significant progress over the past two years and benefited from the November 2005 refinancing of its A$2.1 billion in senior bank debt facilities.
The bank played a key role in establishing GEAC alongside AGL, the Tokyo Electric Power Company and several institutional investors. CBA was sponsor and joint financial adviser to the consortium when it acquired LYA in April 2004.
"This transaction continues our successful infrastructure strategy as we further our infrastructure activities both in Australia and overseas," CBA general manager Infrastructure and Utilities Solutions Group, Geoff Meulman, said.
"By combining the bank’s industry expertise with our full range of financial products and access to capital markets, we are able to create superior results for all participants," he said.
He said the bank believed LYA made significant progress over the past two years and benefited from the November 2005 refinancing of its A$2.1 billion in senior bank debt facilities.
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