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Dotcom firm eyes 'backdoor listing' in New Zealand

Published on Mar 25, 2014 4:11 PM
 
Internet mogul Kim Dotcom, who is fighting US extradition for online piracy, is seeking a "backdoor listing" of his data storage firm on New Zealand's stock market, in a deal that values it at NZ$210 million (S$228 million). -- PHOTO: REUTERS

WELLINGTON (AFP) - Internet mogul Kim Dotcom, who is fighting US extradition for online piracy, is seeking a "backdoor listing" of his data storage firm on New Zealand's stock market, in a deal that values it at NZ$210 million (S$228 million).

Dotcom - founder of the now defunct Megaupload sites - plans to use Mega Ltd to effectively take over listed TRS Investments, both companies said Tuesday.

The arrangement, also known as a backdoor listing, is a strategy used by some businesses that may fail to meet criteria for listing on a stock exchange. The exact reasons for Mega taking this route are not clear.

TRS is acting as a shell company, a vehicle for Mega to list on the stock exchange.

 
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