PNA ENDORSES TAKEOVER BID

Written on the 11 May 2015

PNA ENDORSES TAKEOVER BID PANAUST (ASX: PNA) is recommending for shareholders to accept the newly increased GRAM takeover bid.

GRAM has agreed to increase its all-cash offer price to $1.85 per share, which will value PNA shares at approximately $1.2 billion.

All independent PNA directors intend to accept the offer, in the absence of a superior proposal.

The offer represents an eight per cent premium to the initial GRAM offer, which shareholders rejected. It also represents a 51 per cent premium to the last closing price for PNA shares prior to the offer.

Unless a competing proposal emerges, GRAM will not increase its offer price.

PNA chairman Garry Hounsell says this represents the best option for PNA shareholders to "realise premium value at this time for their shares".

"The revised offer enables our shareholders to realise a compelling premium for their shares and provides certain cash value," says Hounsell.

"GRAM has been a supportive shareholder since 2009 and it is encouraging that through the offer they have endorsed the company's strategy as well as the management and employees who ultimately are responsible for making PanAust the high quality company that it is today.

"GRAM is well-placed to support the long-term strategy of the company, including the development of the Frieda River Project in PNG."

The company owns a 24.26 per cent stake in PNA, with this being likely to "significantly increase" if the offer goes through according to PNA's release to the market.

The offer is set to close on 15 May 2015 unless extended.



Latest News

FORMER MFS EXECUTIVES HIT WITH DISQUALIFICATIONS AND MASSIVE FINES FOR MISAPPROPRIATING FUNDS

FIVE key players involved in an investment company that collapsed in 2008 owing $2.5 billion have been ordered to ...

SURFSTITCH BATTLING FOR SURVIVAL

QUEENSLAND based online retailer SurfStitch Group has gone into a voluntary trading halt for three months after it wa...

STARTUP SUCCESS BOILS DOWN TO PERSONALITY, SAYS EXPERT

THOSE who own startups will know that there are many essential qualities of a good entrepreneur; their tenacity, fina...

THE AMBITIOUS PLAN TO TURN A COLLAPSED FRANCHISE INTO AN EXPANDING BUSINESS

AUSTRALIA'S newest master franchise is set to launch in October as a commercial cleaning operation, resurrecte...

Related News

STARTUP SUCCESS BOILS DOWN TO PERSONALITY, SAYS EXPERT

THOSE who own startups will know that there are many essential qualities of a good entrepreneur; their tenacity, fina...

SLATER AND GORDON TAKES SPOTLESS TO COURT

SPOTLESS Group (ASX: SPO) has been hit by a class action launched by Slater and Gordon (ASX: SGH) in the Federal C...

TOPSHOP GOES INTO ADMINISTRATION AMID VOLATILE RETAIL MARKET

TOPSHOP has become the latest in a string of retailers blasted by the volatile retail market, as the iconic fashio...

SIGMA'S SHARE PRICE TAKES A BATTERING AS IT LAUNCHES LEGAL ACTION OVER SUPPLY DEAL

SIGMA Healthcare (ASX: SIG) has taken the MyChemist and Chemist Warehouse chains to court to demand they continue to ...

BOOK YOUR FUNCTION SPACE HERE

 

 

 

Contact us

Email News Update Sign Up Contact Details
Subscriptions

PO Box 2087
Brisbane QLD 4001

LoginTell a FriendSign Up to Newsletter