Snowy Hydro sale to include 100 percent of shares

Australia's Victoria State said February 13 it will sell its 29 percent stake in the country's leading renewable electricity generator, Snowy Hydro Ltd., clearing the way for a A$1.7 billion (US$1 billion) initial public offering (IPO) of the entire company by June.

The move followed an announcement by New South Wales in December that it would sell its 58 percent stake in Snowy Hydro, and the February 7 decision by the Australian federal government to include its 13 percent stake in the proposed IPO.

Victoria's decision comes after it won assurances on environmental concerns, including irrigation for farmers bordering the project and protecting flows on the Snowy River.

Sale likely to be via initial public offering

On February 8, New South Wales appointed Credit Suisse its financial adviser for the sale, which is likely to be through a stock market listing. Analysts said Victoria's decision makes 100 percent of the shares available and could revive the prospect of a trade sale. However, Australia Finance Minister Nick Minchin said February 15 an IPO was the most likely selling method.

"The New South Wales government has made it clear it wants an IPO and given they own 58 percent and we own 13 percent, we're relaxed about participating on that basis," Minchin said. "I expect it to be an IPO."

Snowy Hydro is owner of the 3,756-MW Snowy Mountains Hydroelectric Scheme, Australia's greatest engineering project. It consists of seven power stations and 16 dams, connected by 145 kilometers of tunnels and 80 kilometers of aqueducts. Snowy Hydro also owns the 300-MW Valley gas-fired power plant in Victoria, and is currently building another 320-MW gas-fired plant in Victoria.

HydroVision International 2014 Keynote Speakers

Presenting the HydroVision International 2014 Keynote Speakers

Check out a slideshow covering the keynote speakers at the HydroVision International 2014 conference and exhibition

Click Here >>

Hydro Industry Financials

Buyers Guide Products

Technical Services

NAES develops and offers a full suite of custom...

Digital Governor Conversions and Retrofit Kits

Want to Go Digital? Over the last 10 years we h...

Governor Field Service, Troubleshooting and Calibration

Our highly-skilled Field Service Engineers know...

Governor Replacement Parts - New and Factory Reconditioned

We offer a complete line of brand-new, BETTER-T...

Governor Training Classes

From Governor School to Custom On-Site Training...

Factory Repair Services

We offer COMPLETE factory repair services for A...

Most Read Articles

Recent Comments

Buyers Guide Companies

Sauer Compressors USA Inc

ABB Inc/High Current Systems

Barr Engineering Co

JM Power Aggregates Ltd

Owner, inventor and distributor of an environme...

IC-Fluid Power Inc

Founded in 1989 to bring European fluid power t...

Continuing Education

Professional Development Hours
To access a course listing associated to a specific topic listed below, click on the topic of choice from the list below.

06/01/2014
Volume 33, Issue 5
file
07/01/2014
Volume 22, Issue 4
file

Archived Articles

2006 | 2007 | 2008 | 2009 | 2010 2011 | 2012 | 2013
Hydro Review Past Issues