Management buy-out of M-co New Zealand announced

A group of current and former senior managers of M-co New Zealand has purchased the company from M-co International Limited.

The new owners are Carl Hansen, Shane Dinnan, Neil Pennington, and Bruce Cossill. Mr Hansen, Mr Dinnan and Mr Pennington are senior executives of M-co and Mr Cossill is a former senior manager. He has been managing the alternative securities trading platform of Unlisted as an independent contractor since leaving M-co in January 2006.

Hugh Rennie, Chairman of M-co International Limited, has agreed to become the independent Chair of M-co New Zealand following the change in ownership. M-co New Zealand Chief Executive, Carl Hansen, said today the group saw an exciting future for the company.

"We are extending the range of services we provide to the electricity industry and leveraging our expertise into other sectors of the economy.

"We are very pleased with the opportunities arising from establishing New Zealand’s first carbon registry earlier this year, regi.co.nz and we see significant ongoing opportunities in the carbon industry."

M-co recently won six-year contracts, worth $35 million, for market operator roles tendered by the Electricity Commission, and is currently in discussions with the Gas Industry Company for the possible development of a trial gas trading system.

M-co provides the trading platforms for Unlisted and EnergyHedge, and has a 50% share in Unlisted in a joint venture with 12 other shareholders. M-co also provides an internet-based billing system for Orion Limited, and consulting services to a range of clients on market design and regulation.

The emerging carbon market has been a key focus for M-co New Zealand over the last few months.

"We have recently completed building an internet-based carbon emissions calculator, called Cware, which we are now offering free to clients, and we also have specialist advisory staff to assist New Zealand businesses in trading carbon units.

"M-co is fortunate to have a dedicated and professional group of people delivering high quality technology and advisory expertise to key sectors and markets. The new owners believe M-co is now ready to build more emphatically on its solid foundation of extensive electricity market experience," Mr Hansen said.

For further information, please contact:

Carl Hansen

Chief Executive, M-co New Zealand
DDI: +64 4 473 5240
E: carl.hansen@m-co.co.nz