TAKEOVER BID IN BRISBANE

Press, Volume XCVIII, Issue 28963, 3 August 1959, Page 11

TAKEOVER BID IN BRISBANE

Department Store Transfer (Rec. 10.15 p.m.) BRISBANE. August 2. The multi-million pound retail organisation, Cox Brothers (Australia), Ltd., yesterday offered nearly £3 million cash for all shares of the Brisbane department store company, Allan and Stark, Ltd. * Terms of the takeover offer are £3 cash for each of the 855,500 £1 fully-paid ordinary shares, and £1 10s for each of 155,000 fully-paid 6 per cent, cumulative preference shares. This involves a total of £2,799.000 cash. The six-man board of Allan and Stark will consider the offer on Tuesday. Allan, and Stark operates a city department store in Brisbane, opened Australia's first drive-in department store in the Brisbane suburb of Chermside, and is now constructing another suburban drive-in. Net profit of the company last year was £124,480, and a dividend of 10 per cent, was paid. The offer followed three weeks of bargaining between the directors of the two firms, during which stock exchange rumours sent Allan and Stark £1 shares up 9s 6d to a peak of 48s 6d. Based in Melbourne, Cox Brothers operate a total of 84 stores in all States of Australia except Queensland. The company’s total assets are i more than £23 million. Profit for 11957 was £400.000 net after tax.