§1627 Merger of Native Corporations

Summary

Native corporations set up under sections 1606(d), 1607(a), 1613(h)(2), or 1613(h)(3) in any of Alaska’s 12 regions may merge or combine with other corporations from the same region under Alaska state law. They can keep merging with other regional or already-merged corporations in that region. The merger terms must be approved by the corporations’ shareholders and can include things like issuing more Regional Corporation stock to current owners. Shareholder votes may have been held before or after January 2, 1976. Dissenting shareholders cannot use Alaska’s dissenters’ rights if the Settlement Common Stock of all merging corporations is still subject to alienability restrictions. When a merger takes effect, the new corporation and its shareholders get the same rights, benefits, lands, money, and tax exemptions, and they must follow the same rules and obligations that applied before the merger. If a Village Corporation organized under section 1618(b) merges with its Regional Corporation or another Village Corporation in the same region, the merger must not change regional enrollments for Alaska Native Fund distributions, land selection eligibility, or revenue sharing under sections 1605(c), 1606(m), 1611(b), 1613(h)(8), and 1606(i). If a class of shareholders made up of non-village residents votes as a class, the merger can change or remove their dividend rights under section 1606(j) or (m); if it does not, those dividend rights continue as before. No merger can happen unless the shareholders of each corporation involved approve it. The merger plan must also transfer any Village Corporation’s right under section 1613(f) to withhold consent for mineral exploration inside the village to a separate entity made up of the Native residents of that village.