Brewer Lion Nathan’s Ltd
(ASX:LNN) board has unanimously recommended that shareholders vote in favour of Japan’s Kirin Holdings takeover offer.
Chairman Geoff Ricketts told shareholders at a meeting to vote on the offer today, that the company believes the offer to be fair and reasonable and in the best interests of shareholders.
In May Lion signed an agreement to implement a scheme of arrangement allowing Kirin to acquire the remaining 53.87 per cent of Lion it doesn’t already own at $12.22 a share.
The Australian Associated Press says the deal values Lion Nathan at $6.5 billion on an equity basis, and $8.2 billion on an enterprise basis.
The deal requires at least 75 per cent support from non-Kirin shareholders of Lion Nathan at the Scheme meeting today. Lion Nathan’s 2008 net profit fell slightly from the year before.
New Zealand based telco Telecom of New Zealand Ltd (ASX:TEL) has had its proposal for the country’s planned national broadband network rejected.
CEO Paul Reynolds says given the company’s strongly principled support for the government’s vision to bring ultra-fast broadband to 75 per cent of New Zealanders, Telecom is disappointed the benefits of its national approach have been overlooked.
The telco’s proposal involved integrating the national broadband network into an expansion of its own network.
Mr Reynolds says the government has reiterated its wish to avoid duplication of existing, privately-funded world-class network infrastructure across New Zealand.
He says the government’s model set out in its announcement however, raises the distinct possibility of just such an outcome.
As of next month the New Zealand Government will begin looking at potential partners for its NZ$1.5 billion broadband investment program.
Telecom of New Zealand’s net profits have fallen in the last couple of years after reaching NZ$3 billion in 2007.
Retail marketing services company Photon Group Ltd (ASX:PGA) has completed its rights issue raising a total of $88 million.
This follows the completion of a placement on August 24 which raised $26.6 million.
Photon says the $114.6 million total proceeds raised will be used to retire debt and strengthen the company's balance sheet.
Executive Chairman Tim Hughes says the company is pleased with the high level of support for the rights issue from both institutional and retail shareholders.
Mr Hughes says as a result of the equity raisings Photon has a strong balance sheet and is well positioned to continue to pursue organic growth. Photon Group’s 2009 net profit remained relatively unchanged from its result in 2008.
Australian engineering company Monadelphous Group Ltd (ASX:MND) has secured a contract from mining giant BHP Billiton Ltd (ASX:BHP) for works associated with the Rapid Growth Project 5 in the north west of Western Australia.
The company says the package of work at Yandi is valued at approximately $70 million.
Monadelphous says the contract includes structural, mechanical and piping works for the supply, pre-assembly and installation of the stockyard and train load out facilities to the existing Ore Handling Plant 2.
Work will commence immediately with substantial completion scheduled for the third quarter of calendar 2010.
Managing director Rob Velletri says the project reflects the company’s ongoing commitment to and relationship with BHP Billiton Iron Ore. Monadelphous Group’s 2009 net profit was its best in the last five years.
