Friday, 29 March 2024

Announcement

S/A: NZO: Inland Revenue binding ruling on Scheme of Arrangement

13 Apr 2017 15:41NZX
A favourable ruling has been received from Inland Revenue on a scheme of
arrangement that, if approved by the court, will return $100 million of
capital to ordinary shareholders of New Zealand Oil & Gas.

The binding ruling means that the return of capital under the scheme will not
be treated for New Zealand tax purposes as being in lieu of a dividend.

Under the scheme, half the ordinary shares in New Zealand Oil & Gas will be
cancelled and holders will receive approximately 62.7 cents per cancelled
share. Shareholders approved the scheme at a special meeting on 12 April
2017.

The scheme is now only conditional on receipt of a final court order
approving the scheme.  The company will be submitting an application for this
court order shortly, with a view to implementing the scheme and making
payments to shareholders before the end of May.

Advice received by directors is that the ruling confirms that the sums paid
to shareholders under the scheme should not be treated as a dividend. Any
profit (or loss) realised on the cancellation of shares should be tax free if
the shares are held on capital account. This advice is a non-exhaustive guide
and shareholders are advised to obtain professional tax advice applicable to
their own circumstances.

Further details of the scheme of arrangement are available at
www.nzog.com/capitalreturn.

John Pagani
External Relations Manager
+64 21 570 872.
End CA:00299880 For:NZO    Type:S/A        Time:2017-04-13 15:41:17
Views: 269
New Zealand Oil & Gas
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