Infratil says it has agreed to sell 53.53 million shares - representing a 5 percent stake - in Contact Energy through a fully underwritten block trade.

The sale is at $9.25 per ordinary share, generating expected gross proceeds of about $495.17 million, and taking Infratil’s shareholding down to 9.08 percent.

The sell-down is expected to complete on May 25.

Generate investment specialist Greg Smith says Infratil will have other opportunities they'll want to take advantage of, like data centres. 

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