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11-08-2014, 10:12 PM
Inline with my expectations - no reason for SGP to be asking for anything. If they are happy they can always be a private strategic holder with Towkay Chaoren...
Frasers Centrepoint stonewalling on Stockland side deal
THE AUSTRALIAN AUGUST 12, 2014 12:00AM
Sarah Danckert
Property Reporter
Melbourne
AUSTRALAND’S new parent entity, Singapore’s Frasers Centrepoint, is continuing to play hardball with the company’s second-largest shareholder, Stockland, as relations between the two groups remain strained.
It is understood Frasers has little intention, if any, of carving out a side deal with Stockland, which is yet to sell its 19.9 per cent stake into the Singapore group’s $4.48 a share offer.
Frasers is also believed to be pushing ahead with its plans to delist Australand when its offer closes on August 21 — even if it has not acquired 90 per cent of the company’s shares.
The tactics underscore the toughness of Frasers largest shareholder, Thailand’s Chang Beer baron Charoen Sirivadhanabhakdi, who owns the company through his private investment vehicle TCC and beverage empire ThaiBev.
Australand yesterday announced it had appointed three new board members — Frasers Centrepoint chief executive Lim Ee Seng, TCC adviser Chotiphat Bijananda and Panot Sirivadhanabhakdi, Mr Charoen’s youngest son. Another issue facing Stockland is whether Australian law permits an asset-for-equity swap with Frasers. There appear to be two schools of thought.
Some in the market have pointed to collateral benefit provisions in the Takeovers Act, which prohibit a suitor giving benefits to certain shareholders during the offer period if they are likely to induce acceptances under the bid.
Others in the market have emphasised GPT Group’s experience after the company’s takeover offer for Commonwealth Property Office Fund was trumped by rival bidders Dexus-Canada Pension Plan Investment Board. In that case, GPT’s unlisted fund, GPT Wholesale Office Fund, brokered a side deal with Dexus over certain assets.
The argy-bargy over Australand comes as Frasers reported a 60 per cent decline net profits for the third quarter of $109.2 million, despite its revenues being up 41 per cent to $575.4m during the same period.
Frasers Centrepoint stonewalling on Stockland side deal
THE AUSTRALIAN AUGUST 12, 2014 12:00AM
Sarah Danckert
Property Reporter
Melbourne
AUSTRALAND’S new parent entity, Singapore’s Frasers Centrepoint, is continuing to play hardball with the company’s second-largest shareholder, Stockland, as relations between the two groups remain strained.
It is understood Frasers has little intention, if any, of carving out a side deal with Stockland, which is yet to sell its 19.9 per cent stake into the Singapore group’s $4.48 a share offer.
Frasers is also believed to be pushing ahead with its plans to delist Australand when its offer closes on August 21 — even if it has not acquired 90 per cent of the company’s shares.
The tactics underscore the toughness of Frasers largest shareholder, Thailand’s Chang Beer baron Charoen Sirivadhanabhakdi, who owns the company through his private investment vehicle TCC and beverage empire ThaiBev.
Australand yesterday announced it had appointed three new board members — Frasers Centrepoint chief executive Lim Ee Seng, TCC adviser Chotiphat Bijananda and Panot Sirivadhanabhakdi, Mr Charoen’s youngest son. Another issue facing Stockland is whether Australian law permits an asset-for-equity swap with Frasers. There appear to be two schools of thought.
Some in the market have pointed to collateral benefit provisions in the Takeovers Act, which prohibit a suitor giving benefits to certain shareholders during the offer period if they are likely to induce acceptances under the bid.
Others in the market have emphasised GPT Group’s experience after the company’s takeover offer for Commonwealth Property Office Fund was trumped by rival bidders Dexus-Canada Pension Plan Investment Board. In that case, GPT’s unlisted fund, GPT Wholesale Office Fund, brokered a side deal with Dexus over certain assets.
The argy-bargy over Australand comes as Frasers reported a 60 per cent decline net profits for the third quarter of $109.2 million, despite its revenues being up 41 per cent to $575.4m during the same period.