QRL statement study

Press, 8 July 1986, Page 29

QRL statement study

PA Wellington The Stock Exchange is looking into an announcement from Queenstown Resorts, Ltd, last week, which said the company knew of no reason why QRL’s shareprice had rocketed just hours before QRL said it was to acquire unlisted Hobson Developments, Ltd.

QRL’s shareprice rose 70c to 200 last week.

In a response to a Stock Exchange Inquiry, QRL said it knew of no reason for the rise. Hours after this announcement on Friday, the two companies said in a joint statement that

the Auckland-based Hobson Developments had reached agreement on a series of moves which were to culminate in the formation of a new group, to be known as Hobson Group, Ltd. The new group was to have extensive interests in tourism and property. The executive director of the Stock Exchange, Mr Roger Gill, said the timing of the announcements was unusual.

“We are looking at it and if anything comes out it will be published,” Mr Gill said.

Hobson developments, a joint venture company between Messrs Bryan Robinson and Adrian Chisolm, is already in-

volved In a number of property developments in Auckland and in Queenstown. It acquired a <» per cent stake in QRL earlier this year. »

The proposals, which were subject to approval of QRL shareholders, involved the acquisition of Hobson Developments through the issue of 3 million QRL shares at 100 c each and 1.5 million options. Hobson Developments said that negotiations were proceeding with a big corporate investor with a view to the acquisition by the investor of a significant stake in the restructured Hobson Group.