(Reuters) – Trading in the shares of Auckland International Airport was halted on Wednesday after the airport operator said it was notified that Auckland Council had started a process to sell its remaining 9.71% stake in the company.
“Auckland Future Fund Trustee Limited has invited a relatively large group of brokers to submit offers for a parcel of 163,231,446 shares in Auckland Airport,” the company said in a filing to the New Zealand stock exchange.
Based on Auckland Airport’s closing price of NZ$8.08 on Tuesday, the stake is worth about NZ$1.32 billion ($776.03 million).
Last year, Auckland Council lowered its stake in the airport operator by about 7% after selling shares worth NZ$835.9 million.
“We believe that the stake sale could be seen as a clearing event for investors to focus more on the operating and fundamental outlook for Auckland Airport,” Citi analysts said.
($1 = 1.7010 New Zealand dollars)
(Reporting by Himanshi Akhand in Bengaluru; Editing by Shounak Dasgupta)
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