NEW ZEALAND: PPCS extends takeover offer for Richmond again

New Zealand meat company PPCS has extended its takeover offer for rival Richmond for the eighth time. Richmond’s stock rose last week to NZ$3.17 (US$1.84), which is 6 cents above PPCS’ offer price. The offer was due to close last week but has been extended to 23 May. Under the Takeovers Code, the last possible date that the offer can close is 19 June, which means the offer could be extended beyond 23 May, reported the New Zealand Herald.

May 12, 2003

New Zealand meat company PPCS has extended its takeover offer for rival Richmond for the eighth time.

Richmond’s stock rose last week to NZ$3.17 (US$1.84), which is 6 cents above PPCS’ offer price. The offer was due to close last week but has been extended to 23 May. Under the Takeovers Code, the last possible date that the offer can close is 19 June, which means the offer could be extended beyond 23 May, reported the New Zealand Herald.

PPCS, which has a 68% stake in Richmond, has been told by the High Court that if it does not gain 90% of Richmond it would lose voting rights on some of its shares the day after the offer closes. If that happens, it could leave PPCS with an active share of as little as 34%.