U/C» AirportLink Tunnel + Northern Busway [Bris Connections]

[SoulVision]

Brisbane tunnel project secure: Bligh
April 6, 2009 - 7:19PM | BrisbaneTimes

Queensland Premier Anna Bligh says she remains confident Australia's longest road tunnel project will continue despite a move to wind up the developer.

BrisConnections, the developer of Brisbane's $3.4 billion Airport Link tunnel, went into a trading halt on the ASX today as legal action continued in Victoria and Queensland.

It 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 under one cent amid the global credit crunch as institutions bailed out.

The Victorian Supreme Court has allowed a meeting of BrisConnections unit holders to go ahead on April 9, where they will vote on a wind-up relieving them of the two $1-a-unit calls on their investment.

Ms Bligh told reporters in Brisbane she was aware of the trading halt and understood BrisConnections were looking at a number of options as the court action continued.

"The Queensland government is absolutely committed to Airport Link going ahead," Ms Bligh said.

"We believe that this project is secure, but ... until we see the outcome of these actions it's not possible for the Queensland government to guess what the outcome might be, but we will not let this project fall over."

She said there were no current discussions between the government and BrisConnections regarding money, but contingencies were "being considered".

Victorian Supreme Court judge Ross Robson on Monday released his reasons for allowing the unit holders' meeting to go ahead.

"Why is it unconscionable for a unit holder, whose investment in the project is currently valueless, taking steps to avoid wasting more money on the project, if that be the case?" he said in the finding.

BrisConnections co-underwriter Macquarie Group was today seeking directions from the Queensland Supreme Court on a claim against unnamed parties to ensure they "fulfil their contractual obligations" to BrisConnections.

A Macquarie Group spokeswoman said the Queensland Supreme Court hearing was scheduled for tomorrow, but declined to comment on it.

AAP

New twist in BrisConnections saga
April 07, 2009 02:18pm | Courier Mail

AIRPORT Link underwriter Macquarie Bank is working on a proposal that would let small investors facing massive debts off the hook.

Many retail investors in BrisConnections bought its units when their price slumped without realising two further instalments of $1 each were due on the securities.

With many of these small investors facing huge liabilities, and the first of the two extra instalments due on April 29, the threat of bankruptcy hung over many investors' heads.

BrisConnections said today however, that it had received a letter from Macquarie essentially saying retail investors would not be chased for their instalments, provided a meeting called for next week to wind up BrisConnections was unsuccessful.

While the details were still being thrashed out late today, the Macquarie proposal will provide a powerful incentive to small shareholders not to vote for a winding up, which could have seen the massive project, Australia's biggest of its type, grind to a halt

[SoulVision]

Good news! The project should now have more of a chance of completing.

BrisConn wind-up move fails
Mark Hawthorne | April 14, 2009 - 12:23PM | Brisbane Times

The keenly anticipated meeting of BrisConnections unit holders to vote on the future of the company began with a heated exchange between chairman Trevor Rowe and controversial bankruptcy adviser James Byrnes, who is representing the interests of the company's second-biggest shareholder, Brisbane Toll Roads.

However, a special resolution to wind the company up by rebel investor Nicholas Bolton's company failed.

Heavy security greeted about 100 investors in the toll road company, which has a concession to build and operate Brisbane's $4.8 billion Airport Link project over the next 45 years, as they gathered at the Brisbane Convention Centre to vote on the future of the company.

The investors were told their units would be worthless if BrisConnections is wound up, as BrisConnections would have ''zero value' as a company.

As soon as the meeting was officially opened, Mr Byrnes called a motion to remove Mr Rowe as chairman of the meeting and spill the position to a vote of unit holders.

Mr Byrnes claimed that Mr Rowe had a conflict of interest, as he also chairs the Queensland Investment Corporation, which owns a 9.98% stake in BrisConnections.

''We are the unit holders and we have an issue with that,'' Mr Byrnes said. ''You are incapable of making an impartial decision.''

Brisbane Toll Roads has amassed a 13% stake in BrisConnections on behalf of a US based investment company and is represented by Mr Brynes, a former bankruptcy adviser to Alan Bond.

Mr Rowe angrily responded that he had no conflict, as he had no involvement in investment decisions made by QIC.

''QIC is an investor in the trusts, and their economic interests are no different to any other unit holders, and there are protocols in place at QIC to ensure that there are no conflicts of interest,'' Mr Rowe said Mr Rowe also pointed out that the Supreme Court of Victoria had determined that the responsible entity, being BrisConnections, would chair the meeting, and dismissed the motion.

''I don't believe your motion has grounds, Mr Byrnes,'' he said.

At that point an investor called out: called out: ''Are you not prepared to test the meeting?''

Resolution fails

Courier Mail
UPDATE: THE man behind the move to wind up toll road operator BrisConnections has shocked fellow unit holders by voting against the plan.

Nicholas Bolton today voted against his own motion to wind up BrisConnections, the company behind the massive Airport Link infrastructure project.

The motion to wind the company up failed with 63.34% of votes against the motion and 35.66% of votes in favour.

In a surprise turn BrisCon chairman Trevor Rowe told the meeting that Bolton's Australian Style Investments, which holds a 19.5 per cent stake in the company, voted against all resolutions.

``I don't know anything about any deals,'' Mr Rowe told the meeting.

But he made it clear that some parties associated with BrisCon had had some discussions with ASI over the weekend.

Mr Rowe came under fire at the embattled toll group's unitholders meeting in Brisbane.

[vman11]

So effectively the man voted in favor of putting himself in $100mil debt? Does anything of this sound a little strange to anyone else or am I not understanding the saga correctly?

[SoulVision]

I think he pretty much got out of the $100M debt by essentially selling the 'toxic' stake to Leighton. That's what I gathered so far, not too sure though.

[SoulVision]

A very good visualization of the project as a whole by Urban Circus.