Overseas investment decision for case 200720015 - Brunswick International Limited

The application has been approved as it met the criteria.

The Overseas Investment Office is satisfied that the individuals with control of the Applicant collectively have business experience and acumen relevant to the overseas investment, and that the Applicant has demonstrated financial commitment towards the overseas investment. The Overseas Investment Office is further satisfied that each individual that exercises control over the Applicant is of good character and is not an individual of the kind referred to in section 7(1) of the Immigration Act 1987.

Background:
Brunswick Bermuda International Holdings Limited (Brunswick), currently holds 49% of the shares in Rayglass Sales and Marketing Limited (Rayglass). Brunswick proposes to transfer these shares to Brunswick International Limited (BIL) (the Applicant). Brunswick and BIL are subsidiaries of Brunswick Corporation and form part of the Brunswick Group of Companies (Brunswick Group).

Outline and Rationale for Proposed Acquisition:
Companies in the Brunswick Group have held a minority stake in Rayglass since 2003. This investment has been successful and, as the Rayglass business and the New Zealand operating environment are appealing to the Brunswick Group, the Applicant wishes to exercise the call option and acquire a further 51% of the shares in Rayglass.

The proposal is likely to result in synergies that Brunswick will be able to capitalise on if the proposed acquisition is completed.

The proposal is likely to result in the following benefits:
Increased export receipts for New Zealand exporters and added market competition in New Zealand.