Rumours are rife that the Trust is poised to announce the appointment of a merchant bank to help it assess alternative ways of raising the capital necessary to cover its NZ$880 million purchase of 66% of NGC Holdings late last year.

Vector sold NZ$354 million of pre-IPO equity securities (PIPES) and raised NZ$526 million of debt to buy the NGC stake. Investment bank ABN Amro holds the PIPES, which convert into ordinary shares if the money is not repaid by 13 December.

There are also rumours that Australian infrastructure company Duet (Diversified Utility and Energy Trusts) is interested in the NZ$2 billion non-Auckland Vector assets. Duet, which is managed by Macquarie Bank and AMP Capital, is believed to have also been a bidder for Australian Gas Light's 66% stake in NGC.

The famously dysfunctional AECT also appears split into two factions – one side which wants to continue with the planned IPO and the other that wants a private equity deal completed.

It is understood Duet approached the Trust directly, thus exploiting the tensions between some trustees, and bypassing the Vector board and management.

Vector delivers electricity and gas in the Auckland and Wellington regions and has assets of NZ$4.76 billion. It board now includes business high flyers Tony Gibbs (Guinness Peat Group), Greg Muir (Pumpkin Patch) and John Goulter (former managing director of Auckland Airport) as well as current chairman Michael Stiassny (Ferrier Hodgson).