IF THERE was any doubt that the debt-laden, outlandish external management models are finished, Macquarie Group's decision to bust up the granddaddy of them all, Macquarie Infrastructure Group (MIG), albeit milking shareholders for one last time, said it all.

The next to bite the dust will be Babcock & Brown Infrastructure (BBI), Transfield Services Infrastructure Fund and Hastings Diversified Utilities Fund, which is rumoured to be considering selling its 50 per cent stake in South East Water once the British regulator reports a crucial price determination later this year.

If Hastings sells South East Water next year, the trust will have one asset, Epic Energy gas pipeline group, which hardly justifies the millions of dollars of base fees, performance fees and other commissions paid to the external manager.

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Posted by claire at November 1, 2009 6:58 PM