Augusta Capital files High Court action to force NPT shareholder meeting
"The board is concerned Augusta is trying to play a fast game" – Sir John Anderson
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Augusta Capital has filed High Court proceedings seeking orders requiring listed property investor NPT to call a meeting of shareholders to discuss its hostile bid.
NPT has already notified the market it will call a meeting in February 2017 to consider, among other matters, the Augusta proposal, and will advise the court to this effect, it says.
Augusta is attempting to oust NPT chairman Sir John Anderson and directors Jim Sherwin and Tony Sewell, replacing them with its own chairman Paul Duffy and independents Bruce Cotterill and Allen Bollard.
It's seeking a shareholder meeting to vote on the board and use the forum to propose buying three buildings worth $329 million so Augusta can buy the management contract.
NPT says it has received four substantive proposals regarding the company's future, including Augusta's one, and has commissioned Northington Partners to make an independent assessment of them.
To allow sufficient time for this review, and taking into account the Christmas holiday break, the board considers the proposed timetable is fair and reasonable.
"The board is concerned Augusta is trying to play a fast game in an attempt to hurry the process in its own interests," Sir John says.
He says shareholders and interested parties should consider Augusta's likely motives in trying to effect board changes so it can hold the majority of board seats ahead of consideration of its own proposal to assume management control.
August took a 9.3% stake in NPT in September in a deal with the Accident Compensation Corp, buying shares at 73c, above the then market price of 64c. NPT shares are trading at 65c.
(BusinessDesk)
Fiona Rotherham
Tue, 29 Nov 2016
Tue, 29 Nov 2016
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Augusta Capital files High Court action to force NPT shareholder meeting
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