Medibank Private float on the cards

THE federal government has announced it will consider a public float of Medibank Private on the Australian Stock Exchange. The government claims the public offering of the government-owned insurer, estimated to be worth almost $1 billion, will lower premiums, a claim disputed by the industry’s peak lobby group. Several parties have expressed their interest in buying the company, including US private equity group Kohlberg Kravis Roberts. A decision on whether the insurer will be sold privately or through a public float will be made in October.