Regus Moving To Luxembourg Due To UK Tax "Uncertainty"

LONDON --Office-space provider Regus Group PLC (RGU.LN) Friday said it would move its head office out of the U.K. to protect against "the ongoing uncertainty surrounding the U.K. tax treatment of international groups."

Regus said it is setting up a new corporate structure, creating a new holding company registered in Jersey and a tax resident of Luxembourg. Shares in the existing Regus will be canceled and shareholders will receive ordinary shares in new Regus on a one-for-one basis, the company said.

The company will remain listed on the London Stock Exchange.

The company cited greater international diversity and uncertainty surrounding the U.K. tax treatment of international groups whose holding company is U.K. tax resident for the move.

The new arrangement requires shareholder and court approval.

Regus is headquartered in Birkby in northern England.

Company Web site: www.regus.com

-By Jeffrey Sparshott, Dow Jones Newswires; +44 (0)207 842 9347; jeffrey.sparshott@dowjones.com

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