Wolseley To Shift Tax Base To Switzerland
Tuesday, September 28, 2010
Wolseley plc, a global distributor of heating and plumbing products
and supplier of builders' products to the professional market, has
announced a proposed change to the corporate structure of the Wolseley Group,
which will see the creation of a new UK-listed Group holding company incorporated
in Jersey with tax residence in Switzerland.
The board has concluded that the interests of its business and its shareholders
are best served by establishing an international holding company corporate structure
that will help provide more certainty in its taxation position, the firm said
in a statement on September 27.
Explaining the decision, the company said that the restructure would "enable
the group to achieve a competitive effective corporate tax rate." It added that the proposals will not change the tax position of the UK business.
Under Part 26 of the Companies Act 2006, to implement the proposals, Wolseley
requires shareholders’ approval. Shareholders are to receive outlined
proposals on October 1, 2010. If approved, restructuring will begin from November
23, 2010. Subject to approval, Wolseley will be admitted to the premium segment
of the Official List to the London Stock Exchange.