Australia's Aurizon rises on plan to sell East Coast Rail unit

Aurizon Holdings

16/12/2022 24:02

** Shares of Aurizon Holdings Ltd  AZJ.AX  rise as much as
4.3% to A$3.9 - set for best day since March 3, if gains hold
    ** Australia's largest rail freight operator says it will
sell its East Coast Rail (ECR) business to Magnetic Rail Group
for A$425 mln ($284.71 mln) in cash
    ** Says co is not expected to make any capital tax gains,
with A$125 mln of the proceed to be deferred for 12 months
    ** Sees positive earnings contribution from sale of ECR will
be more than offset by transaction costs 
    ** Aurizon shares hit highest level since Dec 1
    ** Stock up 6.6% this year, as of last close
 (Reporting by Poonam Behura in Bengaluru)
 ((Poonam.Behura@thomsonreuters.com;))