Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


Arthur Barnett Limited – Insider Trading Inquiry

Arthur Barnett Limited – Insider Trading Inquiry

The Securities Commission has completed an inquiry into share trading in Arthur Barnett Limited.

On 6 August 2002 Arthur Barnett announced that a takeover offer for all the company’s shares was likely in the next ten days at a price significantly higher than the current market price. Shareholders were told not to sell pending further advice.

Between 15 and 31 July, 604 Arthur Barnett shares were traded on the New Zealand Stock Exchange at 72 cents. On 1 August 15,000 traded at 78 cents. The following day 15,273 traded at an average price of 82 cents. Accordingly, between 15 July and 2 August, the Arthur Barnett share price increased by some 14%.

Subsequently Arthur Barnett Limited was taken over by Belwalsh Holdings Limited at a price of $1.40 per share.

The Commission’s inquiry considered whether anyone with inside information about the proposed takeover offer may have bought shares, either directly or indirectly, or may have tipped another person about the proposed takeover offer, before the 6 August announcement.

The inquiry found that all the Arthur Barnett shares traded between 15 July and the 6 August announcement (30,877 shares) were bought by one person. On the evidence, these shares were bought as part of an original order (placed with a broker at the beginning of the year) to acquire 100,000 Arthur Barnett shares.

The Commission questioned the person about the circumstances of the trading, his knowledge of the company and reasons for buying, as well as any links that he may have had with the parties involved in the takeover. The person’s broker was asked about the circumstances in which the purchase order was placed.

On the evidence the Commission could not establish that the person who bought the Arthur Barnett shares had inside information about the possible takeover.

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

I Sing The Highway Electric: Charge Net NZ To Connect New Zealand

BMW is turning Middle Earth electric after today announcing a substantial contribution to the charging network Charge Net NZ. This landmark partnership will enable Kiwis to drive their electric vehicles (EVs) right across New Zealand through the installation of a fast charging highway stretching from Kaitaia to Invercargill. More>>

ALSO:

Watch This Space: Mahia Rocket Lab Launch Site Officially Opened

Economic Development Minster Steven Joyce today opened New Zealand’s first orbital launch site, Rocket Lab Launch Complex 1, on the Mahia Peninsula on the North Island’s east coast. More>>

Earlier:

Marketing Rocks!
Ig Nobel Award Winners Assess The Personality Of Rocks

A Massey University marketing lecturer has received the 2016 Ig Nobel Prize for economics for a research project that asked university students to describe the “brand personalities” of three rocks. More>>

ALSO:

Nurofen Promotion: Reckitt Benckiser To Plead Guilty To Misleading Ads

Reckitt Benckiser (New Zealand) intends to plead guilty to charges of misleading consumers over the way it promoted a range of Nurofen products, the Commerce Commission says. More>>

ALSO:

Half A Billion Accounts, Including Xtra: Yahoo Confirms Huge Data Breach

The account information may have included names, email addresses, telephone numbers, dates of birth, hashed passwords (the vast majority with bcrypt) and, in some cases, encrypted or unencrypted security questions and answers. More>>

ALSO:

Rural Branches: Westpac To Close 19 Branches, ANZ Looks At 7

Westpac confirms it will close nineteen branches across the country; ANZ closes its Ngaruawahia branch and is consulting on plans to close six more branches; The bank workers union says many of its members are nervous about their futures and asking ... More>>

Interest Rates: RBNZ's Wheeler Keeps OCR At 2%

Reserve Bank governor Graeme Wheeler kept the official cash rate at 2 percent and said more easing will be needed to get inflation back within the target band. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news