Wellington's Chow brothers plan to list on NZAX via RIS Group

Monday 9th November 2015

Wellington businessmen John and Michael Chow plan to list some assets on the NZAX market by taking over shell company RIS Group.

RIS Group agreed to accept a conditional offer from trusts associated with the Chows which would see it buy the shares in the brothers' 16 Park Avenue company on Feb. 22, 2016, for about $7 million, through the issue of shares, plus $500,000, the Wellington based shell company said in a statement. The reverse takeover would see the Chow's company own more than 90 percent of the shares in RIS Group, it said.

The agreement is conditional on the Chows undertaking further due diligence on RIS Group and on consent from their bankers, as well as RIS Group obtaining necessary approvals.

"This is a very exciting development," said RIS Group chairman Roger Bennett. "The RIS directors have worked hard to restructure the shell so that it would be attractive to a potential listing candidate. We have had a number of people making general inquiries, however the agreement comes as a result of the first offer that has been made."

RIS Group's shares trade infrequently and were last at 0.3 cents, valuing the company at $3 million.

BusinessDesk.co.nz

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