Australia's Sydney Airport (SYD) announced (14-Aug-2013) plans to increase its shareholding in the airport to 100% by acquiring the 15.2% held by minority investors. Sydney Airport CEO Kerrie Mather said the acquisitions are structured to ensure there is no ownership dilution for the company's 38,000 existing investors. Most unlisted minority investors will retain their investment in the airport by swapping their unlisted stake into a proportionate number of listed securities. The remaining unlisted minority investors will exit their 3.9% investment in return for cash proceeds. Following investor approval, the company plans to complete the simplification of its corporate structure by the end of 2013, as part of a process it commenced in 2009. The simplification is expected to provide the opportunity to increase the company's foreign ownership limit from 40% to 49%. The changes will not affect the airport's day-to-day operations or customer experience. The company also reached an in-principle agreement with the Australian Taxation Office to settle all matters concerning deductibility of distributions paid on redeemable preference shares. The agreement is expected to provide investors with tax certainty for past years. Sydney Airport CFO Stephen Mentzines said, "This is an important package of initiatives for SYD as it deals with historical matters and provides certainty for our investors into the future. Investors can now focus solely on Sydney Airport’s operational performance, which has been strong over many years." [more - original PR] [more - original PR - 2] [more - original PR - 3]
Sydney Airport to increase ownership to 100%, complete corporate simplification, resolve tax matters
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