The Queensland Government has announced it will sell $806 million worth of shares in rail logistics giant Aurizon, saying the deal will ‘maximise benefits’ for Queensland taxpayers.

Under the deal, the Queensland Government will sell 200 million shares to institutional and sophisticated investors in Australia and offshore.

State Treasurer, Tim Nicholls, said the deal would be used to raise funds to pay down the state’s debt.

“The shares have been sold at a price of $4.03 per share, being a premium to Aurizon’s volume weighted average trading price on Friday and the 5 and 10 day volume weighted average trading prices,” Mr Nicholls said.

“The Government will also receive a 4.1 cents per share dividend from Aurizon on the shares that have been sold, which is payable on 27 March 2013.

On completion of the selldown, the Government’s holding in Aurizon will reduce from 18.2 per cent (389.2 million shares) to 8.9 per cent (189.2 million shares).