LNC Industries makes take-over bid

Press, Volume CXVI, Issue 34107, 20 March 1976, Page 19

LNC Industries makes take-over bid

(Seui Zealand Press Association —Copyrigtit) SY’DNEY. LNC Industries, Ltd, the largest independent motor vehicle distributor in Australia, is attempting to strengthen its involvement in the automotive industry with a take-over bid- for Bennett and Wood. Ltd, a Svdnev-based vehicle parts and Honda car and cycle distributor.

LNC distributes cars and] motor cycles including: Chrysler, Leyland, Audi,] Volkswagen, Subaru, I-iat.i Lancia and Rambler. It recently took over its 1 associate. Brooklands (Hold-; ings), Ltd, a Melbourne-1

| based automotive parts dis-1 jtributor. '] . LNC announced that it] ’] was offering two of its ordiJnary shares and 50c cash for (each Bennett and. Wood > I share. Based on a last sale of J ( l6sc for LNC on the Sydney sharemarket, the offer values: each Bennett and Wood; share at 380 c, compared' with a last sale of 255 c, and ]a published figure of 304 c as; j the net asset backing. ] LNC is already entitled to] 1323,424 shares in the group. | so it is bidding for the I.9m' ] outstanding shares. The bid values the group] I at sAust.B.4m. I The chairman of Bennettl land Wood (Sir Kenneth : Humphreys) said the board j 'would meet soon to consider: ’LNC's advance. I LNC was making the bid] because ii believed Bennett I

land Wood would com-! ]plement certain aspects of .] LNC's existing activities, •'said the chairman (Mr Wl J.: ■; Locke). il LNC also considers that it] will be able to further! f; develop Bennett and Wood’s performance and status by] ■ tallowing it to use LNC’s! l|various skills and resources. L Shareholders in Bennett I and Wood who accept the II offer will be entitled to re-i (tain the interim dividend of, >llO per cent that was] J recently recommended by i'the directors. ; LNC recently announced a >140.6 per cent rise in group (net profit in the six months Jto December 31. r It was expected the trad-: Hing level of LNC in the first-; •(half would be maintained for' I the remainder of 1975-76, I (provided economic condiit.ions did not deteriorate.