Carter shares in trust

Press, 29 August 1980, Page 8

Carter shares in trust

PA Wellington The Commerce Commission has renewed its orders restraining Fletcher Holdings in the Carter Holt take-over battle — and has also made' an unusual provision for the■ Public Trustee to hold) shares sold by more than ■ 300 Carter shareholders. j Apparently recognising thej problem which will arise when Carter pays its final ; dividend and also makes its | one-for-three bonus issue, I the Commission had regulations Gazetted which! brings the Public Trust into :

the Act. The old restraining orders, which were renewed on Monday, prevent Fletcher, or other substantial Carter sharebuyers (United New Zealand Nominees, Ltd, and Customhouse Holdings, Ltd, — an R. A. Jarden nominee), from having their purchases registered. So the 300 or so share-

holders who sold out to thej three companies at the time | of the Fletchers bid, are still i on the Carter share regis-I ter and as such would) have received dividend cheques and bonus’ shares] which they would have had to hold in trust for either |

Fletcher, United, or Customhouse, depending who they sold to. Apart from the inconvenience, it was also felt that this would be bewildering for some shareholders.

So the major shareII holdings will be registered Jin the name of the Public .Trustee who will be able to (pass dividends and bonus shares. on to the beneficial : Owners. I The Commerce CommisIsion decision, makes registration possible under eight ! conditions. The first is that the Customhouse shareholding of 331,761 shares be registered to the Public Trustee, while only part of the United New Zealand (NZUC) shareholding is . affected. The i United shareholding to be i held in trust amounts to 1138,709. shares. I The Commission has ruled' i that “the directors of Carter Holt Holdings, Ltd, register jin the name of. the Public (Trustee all such transfers as iare- so submitted to it in' I That “any bonus shares i issued by Carter Holt in respect of these shares shall |be allotted to and held by the Public Trustee as afore|said”.

That, “any dividends or similar payment payable in respect of the shares shall be paid by Carter Holt to the Public Trustee and forthwith paid by him to Customhouse Holdings or United New Zealand Nominees as the case may be. Payment as aforesaid to the Public Trustee shall be a full and proper discharge to Carter Holt of all its obligation.”