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

 


VINZ reiterates 'don’t sell' ahead of independent report

VINZ reiterates don’t sell notice ahead of independent report

Jan. 18 (BusinessDesk) – Vehicle Inspection New Zealand (VINZ) is reiterating its don’t sell notice to shareholders, saying an offer from Jevic New Zealand is opportunistic,

Jevic, a company that pre-vets imported used vehicles, has offered to buy all the shares of VINZ at $1.65 each, valuing the target at $4.1 million.

VINZ chairman Ken Worsley said a report from an independent adviser and the board’s response to the offer were being reviewed by the Takeovers Panel.

“Once the Takeovers Panel has vetted these vital documents, we will dispatch them to shareholders,” he said.

This has to be done by January 23.

Worsley said VINZ had significant cash reserves that alone valued the company at $1.27 a share.

“It is the view of this board that the current Jevic offer is opportunistic in that it takes advantage of perceived uncertainty caused by the current vehicle licensing review process,” he said.

The offer represents a 10 percent premium to VINZ’s last trading price of $1.50.

Prior to the offer Jevic and associated parties had already acquired about 18.5 percent of the company.

The government is reviewing the whole system of annual vehicle registrations, WOFs, COFs and transport service licensing with a view to lifting efficiency while cutting costs.

That could have a detrimental impact on VINZ’s business. One option is to extend frequency periods for warrants and other services, which VINZ said in its annual report in August would reduce the market size, prompting the company to put any expansion plans on hold.

The Jevic group is the country’s largest biosecurity vehicle inspectorate with about 85 percent of that market.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Scoop Business: Spark, Voda And Telstra To Lay New Trans-Tasman Cable

Spark New Zealand and Vodafone, New Zealand’s two dominant telecommunications providers, in partnership with Australian provider Telstra, will spend US$70 million building a trans-Tasman submarine cable to bolster broadband traffic between the neighbouring countries and the rest of the world. More>>

ALSO:

Statistics: Current Account Deficit Widens

New Zealand's annual current account deficit was $6.1 billion (2.6 percent of GDP) for the year ended September 2014. This compares with a deficit of $5.8 billion (2.5 percent of GDP) for the year ended June 2014. More>>

ALSO:

Still In The Red: NZ Govt Shunts Out Surplus To 2016

The New Zealand government has pushed out its targeted return to surplus for a year as falling dairy prices and a low inflation environment has kept a lid on its rising tax take, but is still dangling a possible tax cut in 2017, the next election year and promising to try and achieve the surplus pledge on which it campaigned for election in September. More>>

ALSO:

Job Insecurity: Time For Jobs That Count In The Meat Industry

“Meat Workers face it all”, says Graham Cooke, Meat Workers Union National Secretary. “Seasonal work, dangerous jobs, casual and zero hours contracts, and increasing pressure on workers to join non-union individual agreements. More>>

ALSO:

Scoop Business: ComCom Charges Hawkins’ Finance Companies Over Debt Recovery

The Commerce Commission has filed criminal proceedings against two finance companies run by former 1980s high-flyer Allan Hawkins over their debt recovery practices. More>>

ALSO:

Science Media Centre: The Big Science Stories Of 2014

It was a dramatic year for science, one that witnessed a severe outbreak of Ebola in West Africa and an historic mission to land a space probe on a comet. On the home front... headlines with animal testing for 'legal highs', 1080 use to tackle increased pest numbers and court action over genetically modified organisms among the most-covered stories. More>>

ALSO:

Get More From Scoop

 
 
Standards New Zealand

Standards New Zealand
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news