Decision Summary - News Corporation
| Decision | Consent granted Section 13(1)(a) Overseas Investment Act 2005 |
|---|---|
| Decision date | 12 November 2008 |
| Investment | An overseas investment in significant business assets, being the Applicant's acquisition of rights or interests in up to 100.0% of the securities of Sky Network Television Limited, the value of the assets of Sky Network Television Limited and its 25% or more subsidiaries being greater than $100m. |
| Asset value | $1,902,893,549 (NZ$ market capitalisation value) |
| Applicant | News Corporation United States of America (76.3%), Australia (23.7%) |
| Vendor | Existing shareholders in Sky Network Television Limited New Zealand (69.63%), United States of America (19.09%), Australia (4.7%), United Kingdom (except Isle of Man and the Channel Islands) (3.19%), Hong Kong (Special Administrative Region) (2.31%), Various (1.08%) |
| Background | The Applicant, through a wholly owned subsidiary, is the owner of approximately 43.7 percent of the ordinary shares of Sky Network Television Limited (Sky). The Applicant was granted consent (A200510093), and a subsequent variation to this consent (A200510105) in 2005 to acquire up to 100 percent of the shares in Sky, by 9 May 2008. The three year period for which the Applicant was granted consent to acquire the shares in Sky has since expired. Should consent be granted to the Investment, the effect of the Applicant's initial consents, granted by the Overseas Investment Office in 2005, will be carried forward. The Applicant wishes to apply for consent to maintain the ability to continue to acquire up to 100% of the shares in Sky by 31 August 2011. The Applicant believes that the further acquisition of the shares in Sky would strategically enhance the position of the Sky business, and strengthen the Applicant's position in New Zealand. The overseas investment transaction has satisfied the criteria in section 18 of the Overseas Investment Act 2005. |
| More information | Tim G R Williams Chapman Tripp (Auckland) PO Box 2206 AUCKLAND 1140 |
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