Oregon Group secures majority control in New Zealand King Salmon
- Existing shareholder China Resources Asset Management agrees to sell its entire 9.87% stake in New Zealand King Salmon.
- The transaction and associated voting agreement will give Oregon Group majority voting control of 50.68% in the company.
- Oregon Group stated the move provides certainty to consolidate New Zealand King Salmon for accounting purposes.
New Zealand King Salmon Investments (ASX:NZK) shareholders China Resources Asset Management, Oregon Group, and Porus Holdings Trust have entered into an agreement to transfer 53,125,934 shares.
Under the deal, China Resources Asset Management will exit its 9.87% stake by selling equal portions to Oregon Group and Porus Holdings Trust at NZ$0.225 per share.
"As a long-standing NZK shareholder, Oregon is pleased to increase its investment in the company," said Oregon Group and New Zealand King Salmon Director Chiong Yong Tiong.
A separate voting deed grants Oregon Group control over Porus Holdings Trust's voting rights, increasing Oregon's total voting power to 50.68% pending shareholder, Takeovers Panel, and Overseas Investment Office approvals.
Following the announcement, the New Zealand King Salmon share price was unchanged at $0.20.
The company will hold a shareholder meeting where independent directors plan to deliver an Independent Adviser's Report.
Oregon Group has confirmed it will cover the reasonable external costs incurred by the company to prepare and hold the required shareholder meeting.
