Qld: Vote due on airport tunnel builder

AAP General News (Australia)
04-14-2009
Qld: Vote due on airport tunnel builder

BRISBANE, April 14 AAP - The future of Australia's longest road tunnel will be clarified
on Tuesday when BrisConnections unit holders meet in Brisbane to vote on winding up the
company.

But an hour before the meeting is due to be held, Queensland Supreme Court judge Peter
Dutney will reveal his decision in a case brought by Macquarie Group to stop the vote
going ahead.

Justice Dutney will hand down the decision at 9am (AEST) on Tuesday, an hour before
unit holders are due to assemble at Brisbane's convention centre to vote on winding up
BrisConnections.

Macquarie is also seeking a decision on who is eligible to vote.

BrisConnections, the developer of Brisbane's $3.4 billion Airport Link tunnel, was
listed last year as a partially-paid stock, with investors paying an initial $1, with
an additional $2 owed in two future instalments.

The stock subsequently tumbled to less than one cent amid the global credit crunch
as institutions bailed out.

The meeting - sought by Melbourne entrepreneur Nicholas Bolton, BrisConnections' largest
shareholder through his company Australian Style Investments - will allow unit holders
to vote on a wind-up, relieving them of the two $1-a-unit calls on their investment.

With co-underwriters Macquarie Group and Deutsche Bank, as well as BrisConnections'
second-biggest shareholder QIC, opposing the wind-up motion, it is unlikely to gain the
75 per vote in favour to get up.

But a supplementary motion to change BrisConnections' management, which requires a
simple majority vote, is said to have a better chance of succeeding, although its impact
is less certain.

The Australian newspaper reported on Monday that Macquarie could put an alternative
proposal to the meeting that would allow retail unit holders to walk away from their due
payments but ensure major institutional shareholders paid $2 a unit, taking the toll road
company private.

Queensland Premier Anna Bligh has previously stated the state government would not
let the massive project go under.

AAP pjo/apm

KEYWORD: BRISCONNECTIONS

2009 AAP Information Services Pty Limited (AAP) or its Licensors.