The Overseas Investment Office is investigating the "good character" status of China's Agria Corp, PGG Wrightson's largest shareholder, after the company was formally delisted from the New York Stock Exchange early last year.
"We are aware of the situation in the US in relation to Agria (PGG Wrightson's largest shareholder) around its delisting from the New York Stock Exchange and concerns raised by the US Securities and Exchange Commission. The OIO can confirm that we are investigating Agria's good character. We are unable to make any further comment at this time," an OIO spokesman said in an emailed response to questions.
An Agria-led consortium was given a green light to take an initial stake in rural services firm PGG Wrightson in 2009 and a controlling holding in 2011. Under OIO regulation, "consent cannot be granted unless the people who will control the investment are of good character".
Agria, which owns 50.22 per cent of PGG Wrightson through Agria (Singapore) Limited, was formally delisted from the New York Stock Exchange on January 2, last year.
Trading was halted when an NYSE investigation "uncovered evidence demonstrating that the company and its management engaged in operations contrary to the public interest and not in keeping with sound public policy," Agria said at the time, citing the NYSE.
