Judge’s Ariadne hopes brighten

Press, 2 November 1989, Page 41

Judge’s Ariadne hopes brighten

NZPA Sydney The prospect of Mr Bruce Judge returning to a key role in the affairs of Ariadne Australia has moved a step closer, with Ampersand International paying the first instalment for the largest single block of Ariadne shares.

Ampersand chairman, Mr Frank Carr, said a sAusts million cheque had been picked up on Monday night by a solicitor acting for FAI Insurances — which is selling the 19.7 per cent stake in Ariadne to Ampersand for sAust33.6 million. Completion of the payment will give Ampersand voting rights to the stake at Ariadne’s annual meeting in Brisbane on November 28.

Mr Carr and fellow Ampersand director, Mr Judge, the founder and chairman of Ariadne who quit the board last year, have been nominated for board seats.

But the annual meeting is shaping up as a threeway contest for ultimate control of the company, whose business and management have undergone

radical changes since reporting a loss of sAust64o million for 1987-88. Brierley Investments

has recently lifted its Ariadne shareholding to 13.75 per cent. Sir Ron Brierley has nominated himself, BIL director Mr Don Conway and former Industrial Equity director, Dr Gary Weiss, for board seats and seeks the removal of all serving directors except chairman, Mr Barry Capp. Ariadne managing director, Mr Malcolm Edwards, holds 17.5 per cent of the company through his Grylis Pty, Ltd, but is fighting a legal battle against Ampersand over the right to buy the parcel from FAI.

Meanwhile, the National Companies and Securities Commission is polling federal and state attorneys general this week to seek approval to publish a report inquiring into some of Ariadne’s past activities. The NCSC hopes to have the report, written by Mr Robert Gotterson, Q.C., tabled in Parliament next month so it comes under parliamentary privilege. The Gotterson report details Ariadne’s affairs from January, 1987, to March, 1988, including transactions involving Renouf Corp and Cook Islands-registered companies. Mr Edwards has said he is keen to have the findings released before the company’s annual meeting.

Grylis had contracted to buy the parcel from former Ampersand subsidiary, Magenta Holdings, but Ampersand claims that Grylis failed to settle the contract on the due date.