AMA Group halts Blackstone deal after ATO ruling

Company News

by Rachael Jones

AMA Group (ASX:AMA) will not proceed with a deal to sell its vehicle panel repair arm Blackstone Group.

The deal worth $508 million was refused by the Deputy Commissioner of Taxation who denied the request for a ruling for demerger relief.

Because the decision came from the Australian Taxation office - there are no break fees payable.

The AMA Board says they are disappointed with the decision but the business has continued to perform strongly and is still on target with the market guidance released earlier in the year.

Shares in AMA Group (ASX:AMA)are down 4.59 per cent to 94c. 
 

Rachael Jones

Finance News Network
Rachael comes to FNN after working for Fairfax Media covering international breaking news, including the global economy and politics. She joined FNN in February 2018. She has reported on Australia’s finance news for various organisations since 2000 and has also interviewed a number of key business players, including Bill Gates. Rachael has also worked across a number of countries, including the UK and the US.