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Shell ends 100-year split - new entity is Royal Dutch Shell
London: Shell shareholders voted by over 97 per cent yesterday to end 100 years of dual company structure and merging the British and Dutch arms of the oil group into a £125bn business.

As a series of meetings drew to an end, British institutions and other shareholders voted by 99.75% for unification. At a simultaneous meeting in the Netherlands Dutch shareholders gave their backing by a majority of 97.4% for a move which will lead to the establishment of Royal Dutch Shell plc.

The restructuring is costing £115m.

The restructured company will be registered in Britain and have its headquarters in Holland. Jeroen van der Veer will continue as chief executive, backed by a traditional team of non-executive directors.
Lord Oxburgh, the outgoing chairman of Shell in Britain said he felt no regret at seeing the end of the old-style company. One of the advantages of the new structure was that it would help Shell raise equity, which could be used for acquisitions. The company is seeking opportunities of between $1bn and $9bn in areas that would supplement existing operations such as liquefied natural gas, industry insiders say.

British investors are more concerned about the dividends being paid in euros rather than pounds, and also have worries about Shell's annual meetings being held in The Hague.

The new shares will start trading under the new name on July 20.
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