Bidding contest for Atlas

Press, 1 May 1981, Page 8

Bidding contest for Atlas

An interesting bidding contest developed on the stock exchange yesterday when an Auckland broker, Wakeman Paine and Company, announced that it was standing in the market for one million Atlas Majestic Industries shades at 45c each. But when trading began at. 10 a.m?, another Auckland broker, Jordan > Sandman Smythe weighed in and pushed the price to 46c. Bidwill then matched the offer for both' the ordinary and the shares. A partner, Mr W. A. Paine, said yesterday that bidding “should be interesting.” He said that his firm might buy more than the one million shares it has declared its intention to purchase, but this would depend on what was. available.

However, later on Jordan dropped out — leaving Bidwill the sole buyer.

Yesterday, only 190,700 ordinary shares changed hands — 169,700 at 45c and 21,000 at 46c — and 23,700 preference shares were sold at 45c. Before the offer, the ordinary 50c shares were selling at 35c, and the preference shares at 40c. A.M.1., which has been in trouble for years, reported a trading profit of only $19,000 in the year to March, 1980. In the six months to September 30 the company reported losses of $518,000 and its outlook for the year ended March — for which results are not expected to be announced for at least ■another five months — is bleak.