Share details set, left decide to be wrong
This evening, the Government has announced the final details of the Mighty River Power share offer, which will be officially listed on Friday. The share price is going to be $2.50, and about 113,000 share packages are being purchased. It will create about $1.7 billion for the Government.
Personally, that is higher than I expected, but what I really didn’t except is the unreasonable assumptions and hypocrisy that would come from the left on Twitter. I’ve only grabbed a few examples, but there was a fair few of them. Firstly, the supposed statistics around the 113,000 shareholders:
Apparently we know that every shareholder is an individual New Zealander, and therefore it equates to 2.5% of the New Zealand population. WRONG. Share packages can be owned collectively (so the package has two or more names to the shares) or by an organisation (company, partnership, incorporated society, etc) which represents multiple individuals. We have no idea how many of the 113,000 shareholders are either one package for more than one person or an organisation owned by or representing multiple New Zealanders. For all we know, it could me 90% of New Zealanders. I doubt it, but it’s just as possible as the arbitrary 2.5% opponents of the partial float are insisting on.
Secondly, the amount of money spent on this:
Sure, there was a lot of money spent on these sales, but there was also a ridiculous amount of money spent on the pointless “Save Our Assets” petition, which had several thousand invalid signatures. I have heard of people signing as “Margaret Thatcher” or even “Borat”. So no, you don’t have the right to talk about money being spent. At least the money being spent on the partial float was productive. I don’t know the exact figure spent on this float, but it was less than the $1.7 billion being received, and therefore it was a productive expense.
UPDATE: To be fair to @kaupapa, he did tweet some actual data not long after – I didn’t see that tweet was I was writing this. Still, 2.5% is based purely on the shareholdings compared with the population, and is a flawed figure. Here’s the tweet he sent: