Higher Bid By Thomsons?

Press, Volume CIII, Issue 30366, 15 February 1964, Page 12

Higher Bid By Thomsons?

(N.Z. Press Association) WELLINGTON, Feb. 14. The next Thomson Organisation move in its bid for the “Dominion” will be decided within a fortnight. Mr A. H. Begg, chief of overseas operations for Thomsons, hinted in Wellington today that Thomsons, might increase its bid. “This is one of the avenues open to us. We have no intention of withdrawing from the take-over battle,” he said. Mr Begg, who has been in Australia for the last week, said that Thomsons could either withdraw or increase its offer within a month from the time the offer went out to shareholders. “This month can be extended under the act which came into effect on January 1, but our action'will be decided within the next fortnight.” Mr Begg described the £2.2 million Adelaide News group’s bid. for . .the “Dominion” as “certainly high if one takes into account the strict market value of the shares.” Mr Begg said the Australian offer, announced last night by Mr K. R. Murdoch, managing-director of News, Ltd., Adelaide, was at the moment a better bid than the original offer made by Thomsons on a cash, basis. Mr Begg was emphatic that

there was no connexion between his organisation and the other bidders for the “Dominion.” Commenting on reports that the Government was considering acting only if it appeared that any overseas-based takeover bid for the “Dominion” was likely to succeed, Mr Begg said that any such legislation would have to be retroactive. He said that in his talks with the Prime Minister (Mr Holyoake) it was not indicated that the Government was decided one way or another on legislation. Mr Begg said the Thomson Organisation had never been blocked by government action or encountered retrospective action when bidding for newspapers in other countries. “The most unusual thing here is that it has become a political issue,” he said. Asked if he intended to see Mr Holyoake again, Mr Begg said: “If he would like to see me, I would be delighted.” Mr Begg said that the majority of Thomson Organisation acquisitions had been made with the support of the boards concerned. He said it was °a possibihty” that Thomsons might

establish another morning newspaper in Wellington. It was certainly possible to start a “very good paper” for £2.2 million, the total figure involved in the Australian group’s bid. Mr Begg said Thomsons would not buy and shutdown other newspapers,” such as I believed happened in the case of the Manawatu morning paper. “We believe in trying to create new readers. The circulation of the ‘Dominion’ could be expanded quite considerably under progressive management,” he said. “We do not regard the Dominion’ as a progressive newspaper in any way.” / Mr Begg said every Thomson newspaper was a “quality” newspaper. Editorial authority was always delegated to the local editor with no direction from head office. Mr Begg said that a Sunday paper was viewed as a development. “There is an urgent need for a good Sunday paper in New Zealand,” he said. Mr Begg said that he had been on private business in Australia and had not been in touch with any of the interests over there which had expressed interest in the- * Dominion.”