Brierly Investments has revealed plans to increase its stake in Air New Zealand (ANZ) to 60%. Sources say the move is aimed at resolving potential conflict between the carrier and Singapore Airlines (SIA) over ownership of Ansett Australia.
The strategy would see SIA's majority shareholder, Temasek Holdings, increase its small stake in the ANZ, which it holds indirectly through a stake in in Brierly to 25%. With ANZ exercising its right to take 100% of Ansett this would effectively give Temasek 25% of the Australian airline.
ANZ has 50% of Ansett and is considering its response to an SIA move to acquire the other half, on which it has first option. Brierly's strategy would increase Singaporean ownership of "B" shares in ANZ (which can be held overseas), a move reportedly devised by Malaysian shareholders.
Although most observers believe the move has the backing of SIA, some analysts doubt whether a 25% stake in ANZ will be sufficient to deflect the South-East Asian carrier from its own strategy.
Source: Flight International
