- SEPSCT to acquire full stakes in OtagoNet, Lakeland Network, and PowerNet operations.
- Deal strengthens local control of infrastructure for Southland and Otago communities.
- Operations will remain unchanged, ensuring continuity for regional electricity consumers.
Southland Power Trust (SEPSCT) has announced its plan to take full ownership of OtagoNet Joint Venture, Lakeland Network Limited, and PowerNet Limited through a newly finalised sale and purchase agreement. The acquisition will be carried out via SEPSCT’s wholly-owned subsidiary, The Power Company Limited (TPCL).
Currently, SEPSCT holds a majority stake of 75.1% in both OtagoNet and Lakeland Network, and a 50% share in PowerNet. The transaction involves Last Tango Limited, another subsidiary of TPCL, acquiring 100% of the shares in Pylon Limited. Pylon Limited owns the remaining stakes in the three companies and is being purchased from Electricity Invercargill Limited (EIL), which is part of Invercargill City Holdings Limited (ICHL).
Carl Findlater, Chair of SEPSCT, highlighted the strategic significance of this acquisition. "The Trust is committed to protecting electricity consumers’ interests and supporting the growing demand for electrification of the Southland and Otago economies through strategic investment. This acquisition aligns with that vision and ensures the southern region’s vital infrastructure remains in local hands."
He also emphasised the operational and financial benefits of the acquisition. "In addition, these acquisitions will enable us to streamline our operations, providing greater focus and economies of scale – all of which will benefit the Trust’s beneficiaries and southern region communities," Findlater said.
TPCL has assured stakeholders that the operations of OtagoNet, Lakeland, and PowerNet will continue as usual, with PowerNet maintaining its existing network management agreement for EIL. The Trust remains focused on a smooth transition as it integrates these assets under its full ownership, furthering its commitment to sustainable energy solutions and supporting the region’s decarbonisation efforts.