Low average

Press, 17 August 1978, Page 13

Low average

> In the absence of any information supplied by the companies concerned, only an exhaustive examination of the company’s share register would allow a calculation of the average prices paid for A. B. shares by Brierleys and Patersons. Two years ago, when A. B. Consolidated sought Brierleys’ help in fightng off the unwanted bid from A. S. Paterson and Company, Ltd, Brierleys were issued with 2M 50c shares in A. 8., in return for the whole share capital of Asparagus, Ltd. A. B. Consolidated shares were selling at 33c before the take-over battle, and climbed to 60c when it was at its height.

Because Brierleys also bought shares on the open market, it is impossible to assess the exact prices paid, but it is thought to be close to 60c. The shares are now selling at 45c. However, A. S. Paterson and Company, Ltd, who offered 50c cash for each A. B. share for up to 49 per cent of the capital, probably acquired its shareholding at a much lower average price. After the dust of that take-over battle settled, Patersons and Brierleys joined forces and consolidated their holdings in a joint company, Food Holdings, Ltd, which has 72 per cent of the capital of A. B. Consolidated.