oOh!media takeover advances after FIRB gives I Squared clearance

FIRB Approval Removes a Required Scheme Condition

oOh!media Limited (ASX:OML) has cleared a significant regulatory hurdle in its proposed acquisition by funds managed or advised by I Squared Capital. The company said the Foreign Investment Review Board had confirmed that the Treasurer had no objections under Australia’s foreign investment laws.

That decision satisfies the FIRB approval condition in the scheme implementation agreement. It removes one of the conditions required before OOH BidCo, an entity owned and controlled by I Squared and its affiliates, can acquire oOh! through a scheme of arrangement.

Shareholders Have Already Backed the Transaction

The clearance arrives after the November shareholder vote, where proxy and direct votes were reported to show 99.81% support among votes cast. oOh! said shareholders subsequently approved the scheme by the requisite majority at the Scheme Meeting on 2 November.

That leaves the transaction further advanced than it was when FIRB approval remained the central regulatory hurdle. The earlier New Zealand OIO consent had already satisfied one other scheme condition, according to prior coverage.

Court Approval and Other Conditions Still Stand

FIRB approval does not complete the acquisition. The scheme remains subject to a number of conditions, including approval at the Second Court Hearing. The company did not disclose in this announcement the status of every remaining condition or provide an updated implementation date.

The next decisive step is therefore judicial rather than regulatory. Until the court approval and other outstanding conditions are dealt with, the proposed acquisition remains subject to execution risk despite shareholder support and the removal of the FIRB obstacle.