LIC gets the green light from shareholders for share simpli

Market statement 14 March 2018 LIC gets the green light from shareholders for share simplification proposal Following a Special Meeting held today the Board of Livestock Improvement Corporation Limited (NZX: LIC) (LIC) has announced that it has received shareholder support to proceed with its proposal to simplify LIC's share structure. The proposal will bring the farmer owned co-operative's existing two classes of shares together into a single class. Of the votes received, 87.69% of co-operative shareholders and 83.39% of investment shareholders voted for the proposal. Turnout was 27.28% of co-op shares and 37.36% of investment shares. For the changes to proceed they needed to be approved by both classes of shareholders, each to a level of 75% or more of the votes received. Board Chair, Murray King, said that the result was an emphatic endorsement of the proposal from shareholders and that the Board would now proceed with the next steps in implementing the simplified share structure. "This result is good news for LIC, our shareholders and New Zealand dairy farmers. It will allow us to decisively address the increasing disparity between the two existing classes of shares and ensure a resilient and agile co-op for the future. "I want to thank all our shareholders who took the time to vote and to attend the roadshows that we held up and down the country. "For myself and the other directors it was great to hear shareholders feedback on the proposal and answer a range of questions they had on the move and LIC's performance. "Under the Dairy Industry Restructuring Act, we are now required to seek Ministerial consent for the changes to LIC's constitution that will enable the proposal to be implemented. "We have written to the Minister of Agriculture seeking his consent and given the clear shareholder support for the proposal we are hopeful that this will be granted shortly. "It is then the board's intention to carry out the implementation of the proposal over July 2018 with the aim to have trading in the new single class of Ordinary Shares open on 23 July 2018. "We will keep shareholders and the market updated on progress towards this and all shareholders will shortly receive further information on the next steps in the implementation process. "It's great to finally have an end in sight to what has been an exhaustive process. This has been an important step in the future proofing of LIC and the Board is pleased to see it receive strong shareholder support", King concluded. ENDS Media contact: Ashleigh Sattler 027 617 1942 For any shareholder enquiries please phone 0800 264 632 About LIC LIC is a farmer-owned co-operative that provides a range of services and solutions to improve the productivity and prosperity of farmers. This includes dairy genetics, information technology, herd testing, DNA parentage verification and farm advisory services through FarmWise. Subsidiary business LIC Automation also provides integrated automation systems and unique milk testing sensors that present real-time data while a cow is being milked. With origins dating back to 1909, LIC has a long history of world-leading innovations for the dairy industry. Today the New Zealand-based co-operative employs more than 700 permanent staff, swelling to 2000 during the peak dairy mating season. LIC also has offices in the United Kingdom, Ireland and Australia. All LIC profit is returned to its farmer owners/shareholders in new solutions, dividends or re-invested for research and development or dividends. www.lic.co.nz End CA:00315522 For:LIC Type:GENERAL Time:2018-03-14 12:45:02