NEW ZEALAND - The New Zealand Superannuation fund invested NZ$212.5m (US$150.8m) in the local downstream assets of Shell through a 50/50 consortium with infrastructure investor Infratil.
The transaction involves Shell New Zealand's distribution and retail businesses and a 17.1% interest in the oil giant's New Zealand Refining Company.
The NZ Superannuation Guardians' general manager of private markets Matt Whineray said the acquisition was a good fit with the scheme's long-term investment horizon.
He added: "The business has stable, long-term cash flows, there is considerable potential to add value over time and we acquired it for a good price.
"We are pleased that, in investing to serve our purpose of reducing the tax burden on future New Zealanders of the cost of New Zealand Superannuation, we can contribute to creating a 100% New Zealand owned fuel distribution business."
The agreement is scheduled to complete on April 1. In addition to Shell's retail network, the acquisition includes NZ-wide distribution, storage, marine and aviation assets; the rights to use the Shell retail brand; a 25% share in Loyalty New Zealand and the ongoing supply of Shell fuels and products.
More needs to be done to speed up DB to DC transfers but, as Jonathan Stapleton says, more also needs to be done to protect members.
The Pensions Ombudsman (TPO) took on 2,566 early resolution cases in 2018/19 after onboarding a team from The Pensions Advisory Service (TPAS), according to its annual report and accounts.
The lifeboat fund is in a good position despite reserves taking a £0.6bn hit. But the ramifications of the EU judgment on member compensation is an area of concern for CEO Oliver Morley, writes Stephanie Baxter