Further Advice to Shareholders
In April this year, BML advised Shareholders that BML was actively looking to increase its shareholding in Perth Markets Group Limited (PMGL) to around 51% over the following two years (subject to regulatory requirements).
BML subsequently attempted to acquire approximately 3% of PMGL’s issued share capital within the regulatory requirements however, has been unable to do so as the transfer forms lodged by BML continue to be held in abeyance for a number of months by the PMGL Directors independent of BML, without a decision being made in respect of their registration.
In view of this ongoing situation, BML has determined to progress an alternate option to achieve its overall strategy and address the impasse which exists.
BML has now announced its intention to make a Proportional Off-Market Takeover Bid to acquire 65% of each shareholder’s shares in PMGL at an offer price of $3.30 per PMGL share (Offer).
This proportional percentage has been determined by BML with the intention of reaching its desired 51% shareholding, having regard to assumptions that BML has made that certain PMGL industry shareholders are unlikely to participate in the Offer.
The BML Board continues to believe that there are significant opportunities for mutual benefit through BML’s approach, and an increased focus on accessing operating efficiencies and synergies for both organisations.
BML has announced its intention with the PMGL Board and Shareholders through a formal Notice of Intention to make a Proportional Takeover Bid for PMGL, which has been issued today.
A copy of the Notice of Intention issued to the PMGL Board can be viewed here. BML will shortly lodge its Bidder’s Statement, but in any event, will make the Offers within the prescribed two-month period required by the Corporations Act.
The BML Board continues to believe this is an appropriate strategy in striving to ensure that as Market landlords, both BML and PMGL are working to contain costs and remain competitive in what they offer Market tenants and other stakeholders as a significant part of the supply chain for fresh fruit and vegetables.