Infratil builds stake

Infratil revealed yesterday that it has built a 5.08 per cent shareholding in Natural Gas Corporation Holdings, seen as a spoiling or bargaining stake by analysts.

Infratil and its United States energy partner, Alliant International, are vying for a controlling influence in Tauranga-based TrustPower with Australian Gas Light which is the controlling shareholder in NGC.

AGL has bought a one-third stake in NGC from Fletcher Challenge to take its stake to 71.9 per cent. There is speculation that AGL will want at some later date to take over Natural Gas.

Analysts expect Infratil will want to reach about a 10 per cent stake in NGC to give it a bargaining and a spoiling stake if AGL went for 100 per cent of the gas company.

The battle for control of TrustPower has seen the share rise to close up 2c to $4.20 yesterday. - NZPA