Midland buyer not yet known

Press, 20 September 1980, Page 18

Midland buyer not yet known

The purchaser of a substantial interest — about 19 per cent — of the ordinary capital of Midland Coachlines, Ltd, had not yet disclosed his identity - by late last night. A brief stock exchange announcement yesterday ■ said that the Government Life Commissioner had sold 345,000 ordinary shares and 130,015 preference shares of Midland to “a private in-, vestor.” I

The chairman of Midland (Mr J. R. Maddren) expressed his disappointment at the failure of the buyer to come forward. He said that when the Government Life Commission acquired this interest three months ago the seller, Dalgety New Zealand, Ltd, had conducted the transaction in an ethical and responsible manner. Midland had at all times been fully informed.

Mr Maddren also said that

at the time Midland had been assured that the Government Life Office considered the acquisition as an on-going investment, not a speculative deal, and that the company would not find itself suddenly with a perhaps unwanted substantial shareholder.

. A spokesman for the Government Life Office said that the price was such that the institution "had no alterna- 1

tive but to accept the approach.” The Government Life Office was satisfied as far as possible about the buyer’s intent.

“We approached this very responsibly, conscious of our community responsibilities and the size of the holding. We weighed the offer very carefully and acceptance was the right thing for our policyholders,” he said.