Contact Energy goes into trading halt as Infratil sells shares

Gentailer Contact Energy is in a trading half as its large shareholder, Infratil, begins selling a 5 percent stake in the company.

In a market statement, Infratil said it would sell 53.5 million ordinary shares in Contact Energy at $9.25 a piece with gross proceeds of about $495.17m, which was expected to be completed on 25 May.

Following the sale, Infratil's shareholding in Contact would be about 9.08 percent.

Contact said the halt was necessary to ensure on-market trading was not distorted by the infrastructure investor's sale of a fully underwritten block trade of shares.

"Contact is not otherwise involved in the process," it said.

The trading halt was in place for the market open, and would continue until the sale process had been concluded.

"While we expect the halt to be for one day, the halt is being sought for a maximum of two trading days and will end when Contact announces the sale process has concluded, or market open on Friday, 22 May."

Following the sale, Infratil's shareholding in Contact would be about 9.08 percent.

Infratil chief executive Jason Boyes said the transaction provided Infratil with additional flexibility to fund future growth opportunities.

"We received our initial stake in Contact as part of the sale of Manawa Energy in July 2025 and we remain confident in Contact and the sector's outlook.

"While we have no immediate funding requirements and our divestment programme is on track, we consider it prudent to reposition this capital now. This means we're well prepared to support future growth opportunities across our portfolio.

"Infratil remains supportive of Contact and has committed to retaining its remaining shares through to, at least, Contact's FY26 full year results announcement."

Further details on the outlook for Infratil's portfolio would be provided at the its full year results announcement on Tuesday 26 May.

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