Take-overs dominate Australian market

Press, 31 March 1981, Page 22

Take-overs dominate Australian market

Share values in most sectors of the Australian sharemarket closed firmer in quiet, mixed, trading in a session overshadowed by news of two huge take-over moves. The diversified food group, Henry Jones (IXL), announced that it planned to merge with the South Australian pastoral group, Elder Smith GM. The move, involving a one-for-one share swap, would create a new company' with assets of more than SIOOO.M. Trading in Henry Jones shares was suspended after the news; Elders shares have been off the boards since last Wednesday pending investigation by'the Adelaide slock exchange of share dealings involving the Bell Group and Carlton United Breweries. Carlton, with 26 per cent of Elders shares and more than 30 per cent of Henry Jones capital, would become the biggest stockholder in the new Elder-Jones conglomerate. In another take-over action, Pioneer Concrete services announced plans to acquire two uranium mines — in which it has a controlling interest. In a cash deal totalling SI6IM, Pioneer offered 810 c for the 43 per cent of Kathleen Investment shares it ; does not own, and $12.10 a share for the just over 50 per cent of Queensland, Mines shares not owned by Kathleen. Investments. An alternative share-swap

bid . offers four Pioneer shares for each Kathleen unit and 11 Pioneer shares for two Queensland Mines

shares, worth $lO and $13.75 respectively at the market price of 250 c of a Pioneer stock unit.