Does MM like Infratil (IFT)?

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Question asked 17/06/2023

Does MM like Infratil (IFT)?

Hello James, What are your thoughts on Infratil given the capital raise to take 99.9% ownership of OneNZ? Best regards, William

Answer

Hi William,

For subscribers not familiar with Infratil (IFT) its a $7.3bn NZ based infrastructure investment company that invest in things like hydroelectricity, Wellington Airport, property etc. Trading on an Est PE of 33x PE for 2024 while being estimated to yield 2% over the next 12 months, it’s rich but its been around that level for a while.

The company has already successfully raised NZ$750mn from fund managers at NZ$9.20, a 8.9% discount to its last traded price on the NZX , the NZ$100mn retail component is now open and will close off on 27th of June. We like this infrastructure investment stock which has rallied strongly post COVID, our ideal accumulation zone is in the $A7-$8 area – its last trade on the ASX before the announcement of the cap. raise was at $A8.78.

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Infratil Ltd (IFT)

LAST UPDATED 15/06/2023 15:12

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