AMP to accept

Press, 6 September 1989, Page 40

AMP to accept

NZPA-AAP Melbourne

The AMP Society says it will accept Australian Cement, Ltd’s (ACL) increased bid of Aust2loc (NZ27Oc) a share for Tasmanian-based Goliath Cement Holdings. AMP investment manager, Mr Leigh Hall, said the revised bid represented “a most acceptable outcome for shareholders” and AMP would be accepting the offer. AMP is Goliath’s biggest shareholder, with 5.5 per cent. Goliath directors have also recommended acceptance of the offer from ACL, which is a joint venture between Pioneer International and CSR.

ACL initially offered Austl7oc a share for Goliath. It lifted its bid last month to AustlBsc, rising

to Aust2ooc, if and when it reached 50.1 per cent of Goliath. It currently holds about 38 per cent of Goliath. Its latest offer values Goliath at $208.98 million and expires on October 6. Lloyds Coirorate Advisory Services, Ltd’s Dean Gosper said Goliath had extracted a substantially higher bid from ACL after discussions on Friday and would recommend shareholders accept it.

Goliath’s board believed the price was fair and was satisfied no higher price would be available. Shareholders who had accepted the earlier offers would also benefit from the increased offer. Goliath chairman, Mr Ken Rowe, said directors would be accepting the new offer.