Forcing through assets sales may cost millions

Kiwi families could lose millions of dollars if the government pushes through asset sales while disputes rage over water rights, says Labour’s State Owned Enterprises spokesperson Clayton Cosgrove.

“John Key is hell bent on selling state assets despite the threat of legal action. That’s terrible financial planning and will only result in a substantially lower share price.

“If the government forces through the sales it may be lose, lose, lose for New Zealanders.

“First off, Kiwis will lose nearly half their assets. They will lose a second time as the share price won’t be maximised. And if the government loses a legal case they will lose a third time if the government is forced to pay compensation.

“This is the worst possible time to sell. John Key has been warned many times, by Māori, academics and lawyers of the risk of legal action.

“No sane businessperson would float a company in this volatile market and with the threat of legal action hanging over the sale. The government should see sense and halt the sale.”