Applicant
BG Group Plc
Case number(s)
200820023
Decision date
Type
Decision
Decision number200820023
Application number200810083
Date26 August 2008
Offeror/applicantBG Group Plc
Ultimate applicant beneficial ownership54.04 percent - United Kingdom, United Kingdom Investors
19.1 percent - United Kingdom, United Kingdom Public
14.97 percent - United States of America, United States Investors
11.89 percent - Various, Various overseas persons
Beneficial overseas ownership 
- Asset currentN/A
- Asset proposedN/A
- Share current99.78 percent
- Share proposed100 percent
Offeree(s)/seller(s)Existing shareholders in Origin Energy Limited
80.98 percent - Australia, Australian Public
7.68 percent - Various, Various overseas persons
6.18 percent - United States of America, United States Public
4.94 percent - United Kingdom, United Kingdom Public
0.22 percent - New Zealand, New Zealand Public
Business activitiesElectricity, Gas & Water Supply - Electricity & Gas Supply
Details of land involvedApproximately 11,900 hectares of freehold situated at various addresses being various certificates of title.
Approximately 1,100 hectares of leasehold situated at various addresses being various certificates of title.
Regions involvedVarious
Total considerationTo be advised
Consent soughtTo acquire up to 100 percent of the securities in Origin Energy Limited, thereby acquiring indirect interests in approximately 52% of the securities in Contact Energy Limited, and various parcels of sensitive land.
Rationale

The application for consent 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 to the Investment:
The Applicant has made a takeover bid for all the shares in Origin Energy Limited (Origin).

Outline to the Investment:
The Applicant lodged its most recent Bidder's Statement with the Australian Securities Exchange on 5 August 2008. The Applicant's offer is subject to various conditions, including a minimum shareholder acceptance of 50.1%, and obtaining the Overseas Investment Office's prior consent.

Rationale for the Investment:
The Applicant considers it is well placed to develop Origin’s major gas production interests in New Zealand by drawing on its skills and technologies across the gas chain.

The proposed overseas investment will or is likely to benefit New Zealand (or any part of it or group of New Zealanders) having regard to the following benefits:

Overseas Investment Act 2005:
s17(2)(a)(iv) - Greater efficiency or productivity.
s17(2)(a)(v) - Additional investment for development purposes.
s17(2)(b) - Adequate protection mechanisms for significant indigenous vegetation and habitat of indigenous fauna.
s17(2)(e) - Adequate walking access over relevant land.

Overseas Investment Regulations 2005:
r28(b) - Key person in key industry.
r28(c) - Adversely affect New Zealand's image overseas.
r28(f) - Advance significant Government policy or strategy.
r28(h) - Maintain New Zealand control of strategically important infrastructure.

ContactCraig Nelson
Simpson Grierson
Private Bag 92518
Auckland