Acceptance Of Bid By Friday Urged

Press, Volume CVIII, Issue 31865, 18 December 1968, Page 24

Acceptance Of Bid By Friday Urged

(N.Z. Press Association —Copyright) SYDNEY, December 16. The directors of Consolidated Gold Fields Australia. Ltd, (C.G.F.A.), have issued a statement calling on shareholders of King Island Scheelite (1947), Ltd (K. 1.5. who want to accept its takeover bid to do so before next Friday.

Unless acceptances were rereceived by December 20, the directors said, the offer might be withdrawn. Next Friday is the last day on which C.G.F.A. can declare its bid free of the minimum acceptance conditions. Although the bid is for 100 per cent of K. 1.5., C.G.F.A. is prepared to accept a minimum of 50 per cent. “At this point of time, the acceptances received are not sufficient to justify declaring the offer free of the minimum acceptance condition, and Gold Fields therefore urges all K.I.S. stockholders who want to accept its offer to do so before December 20, failing which the bid may have to be withdrawn,” the statement said. C.G.F.A. is believed to be controlling about 20 per cent of King Island's capital through sharemarket purchases alone. Its bid was worth $17.40 for King Island on today’s

market prices but the Peko Wallsend bid was worth $19.58. Peko's formal offer was posted to shareholders test week and the first acceptances are expected today. The take-over offers have see-sawed between Peko-Wall-send and C.G.F.A. since September this year. On November 25, the K.I.S. board was reported equally divided over the two bids and unable to make a recommendation.