Dai-ichi Life has begun the process of purchasing the final 9.8 per cent tranche of Guinness Peat Group's (GPG) previous 29.7 per cent shareholding in Tower Australia (Tower).
Two key documents have been lodged with the Australian Securities Exchange in relation to the equity purchase.
Tower will mail out a memorandum to its 40,000 plus shareholders along with an independent expert's report, ahead of its general meeting next month where shareholders will be asked to vote on the purchase by Dai-ichi Life.
While it is not compulsory to vote, independent directors have urged all shareholders to do so and to vote in favour of the proposal, Tower said.
Independent directors are delighted to welcome Dai-ichi Life as a cornerstone shareholder in Tower, and are excited by the benefits Dai-ichi Life will bring if the agreement goes ahead, Tower chairman Rob Thomas said.
Tower will look at opportunities to access Dai-ichi Life's training, knowledge, experience and expertise across a range of areas, Tower said.
Dai-ichi Life will also provide Tower with the opportunity to conduct any life insurance or asset management business in Australia on behalf of Dai-ichi Life, if it elects to do so.
Dai-ichi Life's proposed investment was announced last month, following an agreement by GPG to sell its previous stake in Tower to Dai-ichi Life in three tranches.
