Debt financing facilities decided for AlintaGas

19/7/00
Citibank and Westpac Banking Corporation has been chosen as the banking syndicate for the sale of AlintaGas.
Energy Minister Colin Barnett said today the bank group was selected after assessment by AlintaGas, the Sale Steering Committee and its advisers Deutsche Bank
He said the bank had committed to provide debt financing facilities of $470 million.
This included tranches for terms of three and five years - $270 million and $180 million respectively - and a working capital facility of $20 million.
In April, after expressions of interest were received from major banks, a short list of three bank syndicates was selected to submit final bids to provide the senior debt facility. Those short-listed were the ANZ Banking Group and Westdeutsche Landesbank, Bank of America and Citibank and Westpac Banking Corporation.
Mr Barnett said AlintaGas Limited - the State's main natural gas distributor and retailer - would be privatised by the Western Australian Government through the sale of 45 per cent of AlintaGas equity to a cornerstone shareholder.
The remaining 55 per cent would be sold by an initial public offering which was scheduled for October this year.
"This is the next step in the Government's plan to have AlintaGas sold by October," the Minister said.
"The final details of the public offer document are being finalised and it is expected it will be available to the public in about six weeks."
Credit rating agency Standard and Poor's today announced it had given AlintaGas a 'BBB' long-term credit rating.
Mr Barnett said this investment grade was another positive step in the process.
He said the timetable for the sale process allowed for cornerstone bidders to submit their final bids by July 28 this year. An announcement on the successful bidder was expected to be made in early August.
Media contact: Diana Callander 9222 9699