Approval to hold a stake in a financial sector company of more than 15%

Approval to hold a stake in a financial sector company of more than 15%

Financial Sector (Shareholdings) Act 1998

SINCE:

A. Eric Paul Wilson, Get Kite Founders Pty Ltd ABN 94 618 678 274 and the persons named in the attached Schedule (the applicants) have applied to the Treasurer under section 13 of the Financial Sector (Shareholdings) Act 1998 (the Act) for approval to hold a 70% stake in Xinja Bank Limited ABN 99 618 937 054 (the company), which is a financial sector company under the Act; and

B. I am satisfied that it is in the national interest to approve the applicants holding a stake in the company of more than 15%,

I, Mark Adams, a delegate of the Treasurer, under section 14 of the Act, APPROVE the applicants holding a 70% stake in the company.

Under subsection 16(1) of the Act, this approval is subject to the conditions set out in the attached Schedule.

This approval has effect from the date it is signed and remains in force in accordance with the conditions imposed under subsection 16(1) of the Act.

Dated:   17 December 2018

[Signed]

Mark Adams

Executive General Manager

Specialised Institutions Division

Schedule – the persons who applied for approval

1. Stephen James Garner
2. 69 Macmillan Street Pty Ltd ABN 15 123 795 826
3. Lindley Edwards
4. AFG Venture Group Asset Management Pty. Ltd. ABN 70 086 178 485
5. Venture Group Pty Ltd ABN 89 075 970 071
6. Van Le
7. Van Le Nominees Pty Ltd ACN 618 906 853

Schedule – the conditions

Size of Xinja Holdings Ltd

1. The asset threshold for Xinja Bank Ltd ABN 99 618 937 054 (Xinja) is $200 million.

Duration of Approval

2.        The threshold day is the day that the value of the total resident assets of Xinja first exceeds the asset threshold.

3.        If Eric Paul Wilson, Get Kite Founders Pty Ltd and their associates apply within 90 days of the threshold day for an approval under subsection 14(1) in relation to Xinja, the approval under this notice remains in force:

(a) if the application is refused—until the end of 2 years after the day the refusal was notified to Eric Paul Wilson, Get Kite Founders Pty Ltd and their associates; or

(b) if the application is granted—until the new approval under subsection 14(1) comes into force.

4.        Also, if:

(a)  Eric Paul Wilson, Get Kite Founders Pty Ltd and their associates apply for an approval under subsection 14(1) in relation to Xinja more than 90 days after the threshold day; and

(b)  the application is granted within 2 years of the threshold day,

the approval under this notice remains in force until the new approval under subsection 14(1) comes into force.

Limits on individual shareholdings

5.        Eric Paul Wilson and Get Kite Founders Pty Ltd must not individually hold a direct control interest greater than 58.9 per cent in Xinja without prior approval from the Treasurer or a delegate of the Treasurer.

6.        No associate of Eric Paul Wilson and Get Kite Founders Pty Ltd may hold a direct control interest greater than 20 per cent in Xinja without prior approval from the Treasurer or a delegate of the Treasurer.

7.        The associates of Eric Paul Wilson and Get Kite Founders Pty Ltd are the persons named in the Schedule of persons who applied for approval.

8.        Direct control interest has the same meaning as in the Financial Sector Shareholdings Act 1998.