Merger court action

Press, Volume CXV, Issue 33941, 6 September 1975, Page 1

Merger court action

(N.Z. Press Amociation) INVERCARGILL, Sept 5 iThe merger battle involving the Southland Frozen Meat Company, Ltd, New Zealand Refrigerating Company, Ltd, and Waitaki Industries, Ltd, has led to injunction proceedings in the Christchurch Supreme Court. iTwo shareholders, one in the New Zealand Refrigerating. and the other in Waitaki Industries, have issued proceedings in the Supreme Court at Christchurch, seeking an injunction to restrain New Zealand Refrigeratj ing from proceeding with the merger with Waitaki Industries. i The shareholders claim that the documents sent by N.Z.R. to the shareholders of Waitaki Industries did not comply with the provisions nf the Companies Amendment Act, 1963, which specifies what must be stated in a take-over offer. iThe shareholders claim that matters which the Act required to be stated have not been stated in the offer document. i The plaintiffs also seek an order that N.Z.R. return all share certificates, and note certificates that it has received pursuant to the offer. The chairman of S.F.M. (Mr A. F. Gilklson) says that he knew that the shareholders were contemplating this action, and that his company agreed i with the action being taken by the sharehoidi ers. ;Mr Gilkison says that he had been concerned that i shareholders of N.Z.R., and Waitaki Industries, did not fullv understand I the implications of the merger of the companies.