Forum Topics Infratil
2 months ago

Thought I would post Infratil’s latest newsletter, to showcase a simple way to gain exposure to a number of themes that can be difficult to negotiate as an individual investor.

A bit like Soul Patts, these guys consistently add value and return that value to shareholders. They average 15% pa from memory.

You’re never going to get a 10 bagger in a couple of years, but if low risk consistent returns in a scary looking market appeals, then they are worth a closer look.

Shares are thinly traded.

Infratil Update

December 2022

It has been a busy end to the year with lots of activity across our portfolio. We thought it was timely to share some of the highlights from the last month. 

We were excited to announce the establishment of Mint Renewables, the latest addition to our global renewables portfolio. Mint Renewables will invest in the development of wind, solar, and storage solutions across Australia, and replicates the platform model we built at Tilt Renewables. The establishment of Mint Renewables deepens shareholders’ exposure to the forecast surge in global demand for renewables over the next few decades, complementing our renewable energy platforms across the United States (Longroad Energy), Europe (Galileo), Asia (Gurīn Energy), as well as Manawa Energy in New Zealand. Read more

CDC Data Centres has recently opened two new, state-of-the-art hyperscale data centres in New Zealand. The two 14MW Silverdale and Hobsonville data centres are the largest and most secure centres of their type in New Zealand.

In addition to the facilities in Auckland, CDC has also announced that it is expanding its Eastern Creek data centre campus in Sydney with an additional A$1 billion of investment to commence in 2023. The Eastern Creek Campus already houses four data centres, delivering a combined capacity of 123MW, with construction of two more data centres to commence on site next year adding another 108MW of capacity. Read more

Vodafone New Zealand is excited to launch as One NZin early 2023. Preparations are well underway for the change, which will mean it can invest more into its networks, onshore service, and technology solutions for customers across the country. Read more

Renewable’s developer Longroad Energy, in which we hold a 37% investment, has announced the completion of its acquisition of the 98MW Titan Solar project in California. Titan sells power into the Californian market and produces enough energy for over 30,000 customers in Southern California. Read more

Renewable energy platform Galileo, in which we hold a 40% investment, has partnered with ENVIRIA to build a multi-gigawatt solar pipeline across Germany. Its aim is to deliver a meaningful contribution to Germany's ambition of accelerating its solar capacity by 20GW per annum. With local operational knowledge and pan-European experience, the partnership will build a pipeline that generates affordable energy to German customers. Read more

Wellington Airport achieved global recognition for its efforts to manage and reduce carbon emissions. The airport has achieved Level 2 Certification from the Airport Carbon Accreditation programme, which runs independent assessments of airports around the world. Level 2 (Reduction) is for airports with comprehensive emissions profile mapping and reductions in place. Read more

Pacific Radiology have opened a brand new, purpose-built radiology centre in Timaru, which conveniently brings multiple radiology services into the one branch. The addition of x-ray and CT scanning services at this new facility is especially important in meeting regional needs. Read more

We have recently completed a strategic review of our 50% investment in RetireAustralia, concluding that retaining our interest and supporting the business’s continued growth is the best way for Infratil and the NZ Super Fund to maximise value for all stakeholders. The RetireAustralia business is performing strongly on almost all metrics, while the provision of quality retirement living options to cater for our residents' changing needs as they age is still an ‘idea that matters’ and we are pleased to support RetireAustralia’s continued growth and success. Read more

We are also excited to share that our Chief Financial Officer, Phillippa Harford was recently named CFO of the Year in the Deloitte Top 200 Awards for 2022. It is fantastic to have the huge contribution Phillippa makes to Infratil acknowledged externally. The award is a significant acknowledgement of Phillippa’s contribution to Infratil, which extends far beyond the traditional CFO role. Read more

Finally, we have also announced the appointment of Anne Urlwin as a Director of Infratil. Anne is an experienced and well-respected governance professional. Her current governance roles include directorships of publicly listed Precinct Properties, Vector and Ventia and previously as a director of publicly listed Tilt Renewables, Chorus and Meridian Energy. Anne’s appointment will take effect from 1 January 2023, taking over from Mark Tume, who retires on 31 December 2022.

Mark Tume served as Chair from 2013 to May 2022, and he has been on Infratil’s Board since 2007. In 2007, Infratil’s market capitalisation was $1.2 billion, and it is now $6.2 billion. Mark has been part of Infratil’s transition into a global infrastructure investor which provides New Zealand shareholders with exposure to a diverse portfolio across digital infrastructure, renewables, healthcare and airports across the world.

We would also like to thank you for your continued support of Infratil, and we wish you all the best for the holiday season. We look forward to providing more updates on the exciting growth and opportunities across the portfolio in 2023.


2 months ago

@Chagsy good record, have to watch the externally managed vehicle, morrison & co, a fine balance continually required between shareholder and manager returns, that structure is shunned in different jurisdictions.

not held-- my buy price, btw, low A$7's