| Decision | Consent granted Section 12(b) Overseas Investment Act 2005 Section 13(1)(a) Overseas Investment Act 2005 |
|---|---|
| Decision date | 28 November 2008 |
| Investment | An overseas investment in business assets which will include an indirect interest in sensitive land, being the Applicant's possible acquisition of rights or interests up to 58.1% of the Royal Bank of Scotland Group plc's (RBS- the Vendor) ordinary share capital (a share offer underwritten by Applicant) and its acquisition of 5 billion GBP worth of non-voting non cumulative preference shares of the Vendor which indirectly owns or controls business assets of a New Zealand company and sensitive land. |
| Asset Value | $1,243,581,000 -the total assets of ABN AMRO Group New Zealand Limited |
| Applicant | Her Majesty's Treasury of the UK Government The Applicant is the Treasury of the UK Government and is responsible for formulating and implementing the UK Government's financial and economic policy. |
| Vendor | The Royal Bank of Scotland Group plc United Kingdom (except Isle of Man and the Channel Islands) (56.0%) United States of America (27.0%) Various (17.0%) |
| Background | The Applicant is responsible for financial and economic policy in the United Kingdom and has recently undertaken to assist financial stability in the United Kingdom economy by engaging in a recapitalisation scheme for United Kingdom incorporated banks. The Applicant is taking shareholdings through recapitalisation of eligible banks and the Vendor is part of the Applicant's recapitalisation scheme. The overseas investment transaction has satisfied the criteria in sections 16 and 18 of the Overseas Investment Act 2005. The 'substantial and identifiable benefit to New Zealand' criteria were satisfied by particular reference to the following factors: Overseas Investment Regulations 2005 |
| More information | Matthew Mallett Russell McVeagh (Wellington) PO Box 10-214 WELLINGTON |