Following a Special General Meeting of members held in Wellington today, Motor Trade Association (MTA) confirmed that it will be selling 60 percent of its shareholding in Vehicle Testing New Zealand (VTNZ) to international testing, inspection and certification specialist DEKRA SE, subject to the approval of the Overseas Investment Office (OIO).
MTA is currently the sole shareholder of VTNZ.
The sale was discussed by MTA members at this Special General Meeting with the MTA Board seeking their support before proceeding with this sale. Members also had the opportunity to discuss the sale at a series of road-shows held across the country earlier in September. Under the sale agreement, there is provision for considering the sale of the remaining 40 percent of shares at the end of 2016, at the option of either party.
MTA President David Storey says “We are pleased that we have been able to proceed with the sale. We have always maintained that it will provide a range of meaningful benefits for all the parties involved, and it has been heartening to see that members recognised this. Partnering with DEKRA opens up new possibilities for us outside of the automotive sector and that will not include the repair and servicing of vehicles; DEKRA don’t have an offering in that space and don’t plan to. The net result of this sale though will be a strengthening of MTA’s capabilities and improved long term outlook.”
Clemens Klinke, board member of DEKRA SE and Head of Business Unit DEKRA Automotive, says “The approval of this sale is a very positive outcome. In recent times we have been concentrating on client-centred structures and processes as a means of improving our overall performance. VTNZ are an appropriate fit for that model. They are a well respected and recognised brand with strong management and a very capable, customer-centric workforce. I am very confident that by making best use of each other’s strengths and expertise, we will quickly develop an organisation of the highest calibre.”
The formal transfer of shares from MTA to DEKRA will take place as soon as is possible, subject to the approval of the OIO