Cost of James Hardie move to Ireland set at $91m

SYDNEY: James Hardie Industries says the cost of moving to Ireland would be US$63 million ($91.1 million), around the mid-point of previous estimates.

The company, currently domiciled in the Netherlands, previously had estimated the cost to be US$51 million to US$71 million.

The costs included US$20 million in advisory fees, and a further US$41 million in Dutch taxes as a result of capital gains on the transfer of intellectual property and terminating the company's tax regime there.

A further US$2 million were advisory fees associated with implementation of the second stage of the move in domicile.

The first stage of the proposal to move domicile was completed in February, as James Hardie became a European company from a Dutch registered corporation, which means it is regulated by European authorities, rather than Dutch national regulators.

James Hardie now is seeking shareholder approval to become an Irish-registered company.

Chairman Michael Hammes said the move to Ireland wouldn't affect the company's commitment to contribute to the Asbestos Injuries Compensation Fund. He confirmed that the company intended to make a payment of US$64 million to the fund in the second quarter of next year.

- AAP