New policies on overseas firms

Press, Volume CXIV, Issue 33534, 15 May 1974, Page 1

New policies on overseas firms

(New Zealand Press Association)

HAMILTON, May 14. Overseas companies in New Zealand faced further restrictions, the Minister of Finance (Mr Rowling) told the conference of the Institute of Public Administration in Hamilton today.

The Government would soon order that an offer to sell made on behalf of a New Zealander to any overseas person be treated on the same basis as an offer made to a New Zealand firm by an overseas person, said Mr Rowling. And the acquisition of substantially all the assets of a New Zealand firm by an overseas person would have to be approved by the Minister of Finance when the sum involved exceeded $lOO,OOO. “The Government will soon announce a series of interrelated policies to accelerate and underpin this strategy,” said Mr

Regulations controlling overseas firms making takeovers, beginning business in New Zealand, and borrowing or raising money, would soon be consolidated under the Overseas Investment Act. New Zealanders and New Zealand-controlled enterprises would be in the best position to see opportunities and seize them under the Government’s policies. “This is not to deny a role for foreign companies within this strategy. Foreign companies which are interested in framing their activities within the strategy will find a place.

“But it will be our aim to foster the development of strong, innovatory, risk-tak-ing New Zealand types of enterprises, and we will be taking some new departures in economic and associated policies towards this end," said Mr Rowling.