UBS Australia and New Zealand (UBS) has confirmed it is acting as the lead manager in the Future Fund’s decision to sell some of its stake in Telstra.
“UBS confirms that it is acting as the lead of manager of the sale,” a UBS spokesperson said.
The statement came after news reports said that the Future Fund was seeking to sell $1.7 billion worth of shares in the country’s largest telecommunications company.
The Future Fund, established three years ago to assist future Australian governments meet the cost of public sector superannuation liabilities, is selling a total of 497.7 million shares at $3.47 each.
That’s about a quarter of the Future Fund’s stake in Telstra. The company’s shares closed at $3.65 yesterday.
One news report, citing an e-mail, said the selldown is in line with the Future Fund’s previously stated plan to reduce the portfolio’s overweight holding in Telstra in an orderly manner over the medium-term to build a portfolio consistent with its long-term mandate and strategy.
The Future Fund was unavailable for comment.
