ATM - A2 Milk Corporation Limited

[Joshuatree]

No i can't, me kee wee. there is translation button there to try but i didn't persevere.

[NZSilver]

Whats going on, surely we should have had an update by now!

[see weed]

Whats going on, surely we should have had an update by now!

Maybe it didn't work and they are trying to find a way of letting us down gently. I'm not too worried, me long term. Have already sold a few at great profit. But will keep the rest.

[sb9]

Almost two weeks from the big announcement, nothing out yet. May be next week?

[Xerof]

I did mention at the time that there is a 2 week 'notice and pause' rule for T/O's, so why anyone expected something before next week, I really don't know.

Notice and Pause means they give notice, but can't make the offer for a minimum of 2 weeks, nor can they 'legally' buy shares on-market - the 'pause' - but any other unrelated party can, at any price.

They must also make the T/O within 30 days, otherwise the process would have to start again.

On the other hand, Babbage also said at the time that a formal T/O move was unlikely.

He also said they were late stage capital raising

lay your bets - take your pick

[sb9]

Just noticed it finished up at 68c on Asx at close, some late surge.

[NT001]

I did mention at the time that there is a 2 week 'notice and pause' rule for T/O's, so why anyone expected something before next week, I really don't know.

Notice and Pause means they give notice, but can't make the offer for a minimum of 2 weeks, nor can they 'legally' buy shares on-market - the 'pause' - but any other unrelated party can, at any price.

They must also make the T/O within 30 days, otherwise the process would have to start again. On the other hand, Babbage also said at the time that a formal T/O move was unlikely. ...

Thanks for that, Xerof. The clarification is most useful.

Actually, what Babidge said in his initial announcement was that "there is no certainty that the proposal will result in any transaction and the Board does not consider a takeover imminent". That makes it a bit difficult to predict whether or not a mere "expression of interest" is enough to start the clock ticking according to the Takeover Panel's timetable for a takeover bid.

The expression of interest was reported to the stock exchanges on June 22. If that is considered to be the start of a takeover process, we are now within the time period (14 to 30 days) when an offer has to be made. And the intending bidders can now be buying ATM/A2M shares.

The "offeror" (i.e. the bidding consortium") has to make its offer directly to A2M/ATM shareholders by the 19th of this month give or take a day or two.

Once a firm offer is made (if one is made), the board commissions an independent valuation of ATM's shares and an assessment of the offer.

I'm not clear as to exactly what happens if there is a counter-offer. Does this disrupt the timetable for the initial offer? A counter-bidder, would presumably be entitled to give notice and be granted due diligence (even though the Freedom-led group demanded "exclusivity"). And finally the board has to make a recommendation to shareholders. One assumes the Freedom-Perich rep on the board, Melvyn Miles, would not participate in that recommendation.

So the process may have quite a way to run yet. Please correct me if I am wrong in any of this, Xerof.

[NZSilver]

Cheers xerof, I did not know that timetable with t/o. Nice to learn new info regarding investing.

[Xerof]

NT001, time flies when you depart NZ shores for a holiday - yes you are correct - we are past the 14 day minimum. You raise a very good point about the wording of their 'expression of interest' - that may be insufficient to be construed as an intention to make a T/O. (perhaps robbo could comment?)

TBH, I haven't been paying too much attention to this since the first flurry, but I see no further concrete facts have surfaced (other than the gathering of clues by interested posters)

On that basis your last comment is valid IMO, and I would hold a personal view that the clock has not started ticking yet. If there were to be an offer, then any other competing offer would follow the same process in terms of N&P. Yes, any director with a conflict of interest would be excluded from the process.

[ziggy415]

NT001, time flies when you depart NZ shores for a holiday - yes you are correct - we are past the 14 day minimum. You raise a very good point about the wording of their 'expression of interest' - that may be insufficient to be construed as an intention to make a T/O. (perhaps robbo could comment?)

TBH, I haven't been paying too much attention to this since the first flurry, but I see no further concrete facts have surfaced (other than the gathering of clues by interested posters)

On that basis your last comment is valid IMO, and I would hold a personal view that the clock has not started ticking yet. If there were to be an offer, then any other competing offer would follow the same process in terms of N&P. Yes, any director with a conflict of interest would be excluded from the process.

been top weather since you left cobber