Government Schedules Genesis IPO For March
News: The government of New Zealand announced on February 26 that it will proceed with the initial public offer (IPO) of its wholly owned company Genesis Energy in March. The government said that it will follow a 'front end' book building process this time, which would involve the share price being revealed at the start of offer, adding that it may sell just less than 49% of the company's ownership if the demand falls short of expectations. The move follows criticism over the 'back end' book building approach adopted with the IPOs of state-owned power generators Mighty River Power and Meridian Energy, wherein the price was disclosed after the IPO process. Investment banker Nick Lewis at Wellington-based Woodward Partners believes that the front-end book building approach is unusual but seems reasonable (the New Zealand Herald).