Sharechat Logo

ANZ mulls UDC Finance IPO after sale rejected by Overseas Investment Office

Tuesday 20th March 2018

Text too small?

ANZ Bank New Zealand said it's exploring an initial public offering for UDC Finance after a planned $660 million sale to Chinese conglomerate HNA Group was rejected by the Overseas Investment Office in December.

ANZ NZ chief executive David Hisco said an IPO was "part of a range of strategic options for UDC’s future" as part of ANZ’s strategy to simplify the bank and improve capital efficiency.

"While UDC is continuing to perform well and there is no immediate requirement to make decisions, after last year’s planned sale to HNA did not proceed it makes sense to keep examining a broad range of options for UDC’s future," Hisco said. "This will include exploring whether, subject to market conditions, an IPO would be in the interests of UDC’s staff and customers, and ANZ shareholders.

"The range of strategic options we have for UDC, including approaches we have received regarding the business and the option of retaining it, will take a number of months to examine before any decision is made," Hisco said. "In the meantime, it will continue to be business as usual for UDC."

The HNA sale was first announced by ANZ in January 2017, but was terminated a year later after the OIO declined the application because it did not determine who the relevant overseas person was from the information provided about ownership and control interests. 

Dual listed parent Australia & New Zealand Banking Group's shares last traded at $29.87 on the NZX and have dropped 13 percent in the past 12 months.

(BusinessDesk)

  General Finance Advertising    

Comments from our readers

No comments yet

Add your comment:
Your name:
Your email:
Not displayed to the public
Comment:
Comments to Sharechat go through an approval process. Comments which are defamatory, abusive or in some way deemed inappropriate will not be approved. It is allowable to use some form of non-de-plume for your name, however we recommend real email addresses are used. Comments from free email addresses such as Gmail, Yahoo, Hotmail, etc may not be approved.

Related News:

MARKET CLOSE: NZ shares gain as upcoming Fed meeting bolsters yield stocks; Sky TV gains
ESW reaches 90% of SLI Systems, moves to compulsory acquisition
NZ higher against USD as markets await the US Federal Reserve
Hawke's Bay council advances Napier Port IPO plan
Government outlines planned hikes in minimum wage
Chorus could lift its dividend post-UFB rollout but risks remain
T&G Global profit dented by cheaper tomatoes, small grape harvest
NZ posts widest current account deficit since 2009, in line with expectations
Heartland says new bank capital rules won't hurt as much as the market thinks
ISS supports Vital Healthcare's rebel investors

IRG See IRG research reports