Consumer Poll Opens

The Eastern Bay Energy Trust’s latest move to secure 100% ownership of Horizon Energy could see greater returns for the Eastern Bay, if the community agrees to the purchase in an consumer poll that opened on June 5th.

The Eastern Bay Energy Trust (EBET) Trustees signed a pre-bid agreement to purchase 13.9% of Horizon Energy’s shares from Blenheim based Marlborough Lines Limited .  If successful, this purchase would take EBETs shareholding in Horizon Energy to 91%, enabling the Trust to purchase all other shares, through a compulsory order, and own the company outright.

EBET Chairperson, Don Lewell, said that the Trustees had been working towards 100% ownership of Horizon Energy for several years.

“Our role is to manage and grow the Trust fund on behalf of its beneficiaries so that EBET can support even more energy related projects. Owning Horizon Energy outright would keep company returns in the Eastern Bay and increase the good that the Trust can do in the community,” said Mr Lewell.

The Trust currently grants $1.5 million per year to community organisations including marae, schools, clubs, preschools and district councils.  More than $33 million has been returned to the community for energy related projects since the Trust began in 1994.

Mr Lewell said that when the Trust was originally set up there was already a strong desire within the community for 100% ownership of Horizon, as people wanted to see Horizon Energy’s company profits stay in the area.

The purchase would eliminate the risk of takeover bids for Horizon Energy shares and would deliver savings to the company itself, as it can be delisted from the NZX.

Mr Lewell said that the pre-bid agreement was just the first step in the purchase process. Trust beneficiaries, which include all power account holders in the Eastern Bay, will be invited to vote for the share purchase in an upcoming consumer poll due to run between 5 June and 26 June.