Originally Posted by
Lion
Thanks fish. I've been looking at the Takeovers Code this afternoon. I must say it's quite well written for a legal document - even I can understand most of it.
I've selected two quotes for discussion here: (1) "If the approval thresholds are not met, then the scheme will fail." So that's the end of that scheme, they can't just offer a higher price in the same scheme. Another new scheme is quite a big process, with another "independent adviser" (hah!) for shareholders and another sgm, just like the current process that has dragged on for some time now.
Then the creep, you mention - it has limitations (2) "A shareholder with more than 50% can buy more shares without having tocomply with the Code’s rules. But they must not buy more than 5% of the company’s shares over any 12-month period."
So if OGOG took that route, it would be more than three years to get to 90% where they can compulsorily acquire the remainder. The Ironbark drill is only twelve months away now.
They could do nothing (that would suit most of us here, I think)
Or, as you say, OGOG could make a full takeover bid and if they acquire 90% shares compulsorily acquire the remainder.
I rather suspect that if they did this, they would have to pay up large now, after all the publicity and discussion and the realisation that NZOG's assets are worth substantially more than they have mischievously tried to make us to believe.