Finance merger approved

Press, 29 November 1979, Page 20

Finance merger approved

The proposed merger be-’ tween the financial activities of Challenge Corporation, Ltd, and Broadlands Dominion Group, Ltd, has been approved by the Examiner of Trade Practices. Mr R. R. Trotter, the chairman of Challenge Corporation said the decision of the examiner set the official seal of approval on the proposed merger. This clears the way for Broadlands’ shareholders to accept the offer from Challenge Corporation to acquire all of the issued share capital of Broadlands. “As stated in the offer, we believe there will be sign-! ificant advantages from the; integration of the two fin-1

■ ance companies. These include added strength, and ! stability, as a result of being part of the larger Challenge Group, and significant economies in the cost of accounting, administration, accommodation and fund raising. “In addition, there will be larger resources to compete strongly for new growth opportunities, a progressive release of funds from vigorous liquidation of the property i portfolio. The Broadlands! shareholders will achieve an immediate capital gain, and! obtain a stake in the strong, | and diversified New Zaand company operating in key! areas of the economy, with !a 120-year reputation for ; integrity and progress,” said iMr Trotter.