Friday, January 12, 2007

Rivals eye Alinta Assets

The management buyout proposal for Alinta has raised the interest of rivals. The energy company has decided to assess all options after receiving the offer.

Some competitors have acknowledged their interest in a chance to acquire some of Alinta's energy infrastructure assets.

Babcock & Brown, which also holds a stake of about four per cent in Alinta, said that it was always seeking energy assets. Spark Infrastructure said that it would consider any assets that were being sold.

It seems that management might be trying to get a quick buck out of the company. Simply buy it and then sell off the assets piece meal. It will be interesting to see how this progresses. Surely the deal will not be good enough for shareholders to accept.

Good Luck Investing.

No comments: