ANNOUNCEMENT 23 Feb 2016In February 2016, the government of Australia announced changed rules for foreign investors.
NUMBER OF INTERVENTIONS
Treasury's press release, 23.02.2016
On 23 February 2016, the Australian Treasurer announced in a press release that the Foreign Investment Review Board (henceforth: FIRB) had positively approved the takeover of the Tasmanian Land Company by China's Moon Lake Investments following a national interest review.
However, the approval comes with the condition of applying Australian taxation laws. According to the press release, this decision is the first where the FIRB applied the taxation condition.
The text also mentioned that "Moon Lake Investments have given guarantees that all current VDL 'a dairy company which is part of the Tasmanian Land Company' employees will be offered ongoing employment with Moon Lake on terms no less favourable than their current employment arrangements. Moon Lake has also committed to undertake a number of investment projects in the VDL farms, which will provide additional economic activity to the Tasmanian economy, and based upon Moon Lake's estimates will result in a near doubling of employment at VDL. This will guarantee more than 140 local jobs, generate an intended additional investment of over $100 million and an expected additional 95 jobs".