Rural merger backed

Shareholders in Rural Equities and unitholders in the New Zealand Rural Property Trust have overwhelmingly backed a merger of the two.

Rural Property Trust unitholders voted 96 per cent in support and Rural Equity shareholders approved it unanimously at meetings last week.

Rural Equities chairman Sir Selwyn Cushing told investors last week that the merger was a logical step providing unified ownership and other material benefits.

Under the terms of the merger, Rural Property Trust unitholders will receive one Rural Equity share for 1.15 trust units.

Share certificates will be issued before Friday. Rural Equities will have 1562 shareholders, with shares trading on the Unlisted and ShareMart trading platforms.

Cushing said the board of Rural Equities would consider a listing on the NZX in the New Year.

- NZPA