Update on share simplification proposal

Private Bag 3016
Hamilton 3240
New Zealand

0800 651 156
www.lic.co.nz
LIC is the trading name of Livestock Improvement Corporation Limited
Market statement
19 April 2018
Update on share simplification proposal
On 14 March 2018, Livestock Improvement Corporation (NZX:LIC) (LIC) shareholders voted strongly
in support of the proposal to simplify LIC’s share structure by bringing its existing two classes of
shares together into a single class.
Since then, the Minister of Agriculture has given consent to the changes to the constitution of LIC
required to implement the proposal.
A small number of shareholders elected to exercise their minority buy-out rights arising from the
proposal under the Companies Act 1993 (Act).*
LIC today confirmed it will buy-back 1,334,396 investment shares as a result of the shareholders
exercising their rights.
LIC considers the fair and reasonable price to buy-back the investment shares, determined in
accordance with the Act, is $4.00 per share, being the same as the implementation price under the
proposal and within the assessed value range for investment shares determined by Northington
Partners in its report to shareholders on the proposal. However, there are objection rights available
to those shareholders who have exercised their rights under the Act.
In accordance with the Act, the legal title to those investment shares will pass to LIC today. LIC
intends to retain all investment shares concerned as treasury stock.

ENDS
For any shareholder enquiries please phone 0800 264 632
* Sections 110 and 118 of the Companies Act 1993 grant minority buy-out rights to any shareholder who votes
all of their shares against a special resolution that affects the rights attaching to shares (if the resolution is
approved). Minority buy-out rights essentially require LIC to purchase, or to arrange the purchase of, the
shares held by the shareholder exercising those rights. LIC’s share simplification proposal was approved by
a special resolution and, because the simplification proposal affected the rights attaching to LIC shares,
shareholders who voted all their shares against the proposal were entitled to exercise their minority buy-out
rights within 10 business days of the passing of the resolution.
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