Mair take-over offer looks ‘unsuccessful’

Press, Volume CXVI, Issue 34046, 9 January 1976, Page 11

Mair take-over offer looks ‘unsuccessful ’

Wew Zealand Press Association) AUCKLAND. The take-over bid for W. Sutherland and Company, Ltd, Auckland tanner and merchant, by Mair and Company, Ltd, Christchurch-based diversified import-export group, does not look like succeeding, said the chairman of Sutherland (Mr A. G. Wilson).

An Auckland group, consisting of Vita Shoe Company, I Ltd, its joint managing direcItor (Mr H. V. Brackstone),

and a chartered accountant, Mr W. J. M. Bridgman, now has over 43 per cent of Sutherland’s capital, and will continue to buy shares through the stock exchange in the next few days It was obvious that the group would seek representation on the board of directors of W. Sutherland, but nothing could be done until the bid by Mair — which the board recommended — expired on January 16, Mr Wilson said. “The merger of Sutherland with Mair, with their kindred interests, would have been very much to the benefit of Sutherland shareholders, but now does not look likely to succeed. “It appears we will be presented with a fait accompli. There are still many unknown factors pertaining to the parties that are still buying shares, and all I can say at this stage is that we sincerely hope the end result will be beneficial to the company."

i The chairman of Mair (Mr P F. Polson), said his company would not make a statement until January 16. Mr Brackstone said the Auckland group saw a free market in Sutherland shares, because the company would continue to be listed on the stock exchange. It was the group’s intention to keep Sutherland, which has been losing heavily in (he last few years, in business — “but profitably.” It is believed that the group intended to restrict its shareholding to just under 50 per cent, because if it was to make a first-come, firstserved offer, giving it 50 per cent or more of the shares, it would have had to make a bid for all shares under the take-over legislation. Now that such an offer will not be made, the group can buv any percentage of the shares it wants in the open market without having to make a formal take-over bid.