RBNZ approves ASX-listed Wolfstrike's purchase of lender FE Investments
Shareholders of both firms approved the deal in separate meetings earlier this year.
The Reserve Bank has given the seal of approval to ASX-listed Wolfstrike Rentals Group to buy local financier FE Investments, the last hurdle the firms needed to cross in settling the deal.
Sydney-based Wolfstrike today said it was granted approval yesterday by the RBNZ to go ahead with buying FE Investments in an all-scrip deal, giving the New Zealand firm's owners a controlling stake in the enlarged entity. The deal needed central bank approval because FE Investments is a non-bank deposit taker.
"FEI has grown rapidly over the last few years," FE Investments managing director TK Shim said in a statement. "Being part of the ASX listed company will enable FEI to tap into the Australian markets for capital to support FEI's growth plans where the ASX is regarded as a major bourse on the world stage."
Shareholders of both firms approved the deal in separate meetings earlier this year, and once it's settled, Wolfstrike will consolidate its shares in a 30-to-one basis. The shares last traded at 0.5 of an Australian cent each.
FE Investments had assets totalling $37.2 million as at March 31, 2017, with about 30 percent of its loan book for property development. At the time, it held term deposits totalling $29.5 million, of which about 46 percent was from non-resident investors.
(BusinessDesk)
Paul McBeth
Fri, 26 May 2017
Fri, 26 May 2017
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RBNZ approves ASX-listed Wolfstrike's purchase of lender FE Investments
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