COUNTER RID FOR PACIFIC

Press, Volume CIV, Issue 30916, 24 November 1965, Page 27

COUNTER RID FOR PACIFIC

Offer Worth £707,780 (N Z Press Association) AUCKLAND, Nov. 23. Ellis and Burnand, Ltd., Hamilton sawmilling group, is making a counter bid for Pacific Forests, Ltd., Auckland, of 19s 3d cash a 5s share, involving a cash outlay of £707,780.

Last week the Taupo Totara Timber Company, Ltd., Puitaruru, made a take-over offer worth 18s 3d in shares and cash. Pacific Forests’ directors today warned their shareholders not to sell their shares and not to take any further actio" on the Taupo Totara bid until their directors have made a recommendation with regard to the latest offer. The Ellis and Burnand offer is conditional upon acceptance in respect of at least 51 per cent of the Pacific Forests capital of £183.839. It closes on February 21. Fletcher Interest

Fletcher Holdings has a majority interest in Ellis and Burnand, which at the last balance date had shareholders’ funds of £1,521.617. Pacific Forests' main asset is its plantation at Tokoroa, but it also has substantial investments in real estate and shares.

The earlier offer by Taupo Totara Timber Company is worth £671,012.

It is one Taupo Totara share with a market value of Ils 3d, plus 7s cash f,or every Pacific Forests share. Directors of Pacific Forests recommended acceptance of this bid last week—before they knew about the Ellis and Burnand bid. The Taupo Totara offer closes on December 15. In their advice to shareholders last week, Pacific Forests directors said that the £257.375 cash part of the Taupo Totara bid broadly represented the value of the assets other than the forests.

Waitaki Fr. Profit

(N.Z. Press Association) WELLINGTON, Nov. 23. Unaudited consolidated profit of Waitaki Farmers’ Freezing Company is £163,953. Last year net profit was £145,370. Directors have transferred £23,000 to the building reserve and £50,000 to general reserve. Recommended final dividend is 7 per cent, making 12 per cent for the year; payable January 21, ex dividend January 3.