Takeovers Panel refuses CIMIC’s request to probe Macmahon

Company News

by David Chau

The Takeovers Panel has refused to conduct proceedings in relation to the affairs of mining services provider Macmahon Holdings (ASX:MAH).

MacMahon is currently the subject of a takeover bid from construction giant CIMIC Group (ASX:CIM), which closes tomorrow.

On Monday, CIMIC filed an application alleging that Macmahon issued a misleading and deceptive target’s statement. CIMIC sought orders to rescind on-market purchases of Macmahon shares since the release of the target's statement, and corrective disclosure.

The Takovers Panel considered Macmahon’s overall disclosure and was satisfied the company did not need to make further disclosures. The Panel also took into account CIMIC's confirmation, before filing its application, that its Macmahon takeover offer was final and would not be extended.

Therefore, the Panel decided there was no reasonable prospect that it would make a declaration of unacceptable circumstances.

Yesterday, CIMIC shares closed 0.64% higher at $37.52.

David Chau

Finance News Network
David joined FNN in April 2016. In addition to presenting the Market Outlook and latest business news stories, David interviews senior economists and CEOs of ASX-listed companies. Prior to working for FNN, David was a litigation lawyer.