QIC acquires NZ utilities network majority stake

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Investment manager QIC Infrastructure has successfully completed the acquisition of a majority stake in New Zealand's Powerco.

For a purchase price of approximately NZ$423 million (AUD$331 million), Australia's QIC will receive 58 per cent of Powerco's shareholding from Babbock and Brown Infrastructure.

Despite the deal being agreed in November, the transaction was only finalised in February. Using a secure virtual data room, business advisors may have been able to speed up due diligence processes in an online, encrypted environment.

"It is pleasing to note that all consents including regulatory and lender consents have been received and the acquisition of an interest in Powerco is now complete," said Ross Israel, head of global infrastructure at QIC.

"As a core regulated utility the investment will provide both geographic and sector diversification to our clients' portfolios."

Also in Australia, Sydney-based QBE Insurance Group's chief executive Frank O'Halloran has hinted that the company could be looking to make acquisitions in the near-term.