10 Dec 2009

Airport company finds fault with Auckland bill

1:15 pm on 10 December 2009

Auckland International Airport Ltd says the Takeovers Code is being disregarded in the Government's desire to set up the Auckland super-city council.

The airport company says proposed legislation will allow shareholders Auckland and Manukau city councils to merge their stakes. Their combined 23% exceeds a threshold of 19.9% set out under the Code.

Chairman Tony Frankham says there's no need for special legislation and the Government should ask the Takeovers Panel for an exemption, as any listed company would do.

He says the Code provides for an exemption in such circumstances, and that's what should be used.

Auckland Airport Ltd will make a submission to the select committee that will consider the proposed legislation.