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

 


Peter Hutson Today Announced His Resignation From Abano

Peter Hutson Today Announced That he Has Resigned His Directorship In Abano Healthcare Group

'On behalf of Healthcare Industries Limited ('˜HIL') I have chosen to resign in order to allow for a focused business discussion around the merits of Archer's proposal relative to Abano's recent performance track record and outlook.

'I fundamentally do not believe this company can prosper in the public domain and with its current business plan and capability.

'As Abano's largest shareholder, HIL demands higher performance than what Abano has delivered since the sale of Bay NZ in 2009. HIL has brought a party that has offered a 28% premium to shareholders compared to a 1.7% internal rate of return since the sale of Bay NZ, a company founded by HIL.

'HIL is also supportive of Archer's proposal, because as a fellow clinician, I believe it offers an exciting future for all and will open up new and fresh approaches to clinical professional development.

'I believe resigning from the Board will allow discussion to clearly focus on the fundamentals of the company's performance, and the urgent need for change. The last four years of under-performance highlights the fact that Abano's transformation strategy is not working in a public setting.

'The chairman has acknowledged that the company is limited by the realities of the time and management effort required to implement a successful and long term, sustainable integration strategy. The situation needs to change. 'We have put a cash proposal on the table with an embedded takeover premium for control and clearly indicated to The Board that subject to a short period of due diligence, a higher price is possible. Shareholders own the company and the choice of ownership should be in their hands.

'˜I wish the company all the best during this period,' said Mr Hutson. Peter Hutson and Archer Capital approached the Abano Healthcare board with a nonbinding, indicative and incomplete proposal equating up to $7.50 per share. This represented a 28% premium to the 1 month VWAP on market close 19 July, being the date prior to the initial approach to Abano.

HIL will continue to exercise its rights as a major shareholder.

ENDS

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

SOE Results: TVNZ Lifts Annual Profit 25% On Flat Ad Revenue, Quits Igloo

Television New Zealand, the state-owned broadcaster, lifted annual profit 25 percent, ahead of forecast and despite a dip in advertising revenue, while quitting its stake in the pay-TV Igloo joint venture with Sky Network Television. More>>

ALSO:

Insurers Up For More Payouts: Chch Property Investor Wins Policy Appeal In Supreme Court

Ridgecrest NZ, a property investor, has won an appeal in the Supreme Court over insurance cover provided by IAG New Zealand for a Christchurch building damaged in four successive earthquakes. More>>

ALSO:

Other Cases:

Royal Society: Review Finds Community Water Fluoridation Safe And Effective

A review of the scientific evidence for and against the efficacy and safety of fluoridation of public water supplies has found that the levels of fluoridation used in New Zealand create no health risks and provide protection against tooth decay. More>>

ALSO:

Scoop Business: Croxley Calls Time On NZ Production In Face Of Cheap Imports

Croxley Stationery, whose stationery brands include Olympic, Warwick and Collins, plans to cease manufacturing in New Zealand because it has struggled to compete with lower-cost imports in a market where the printed word is giving way to electronic communications. More>>

ALSO:

Prefu Roundup: Forecasts Revised, Surplus Intact

The National government heads into the election with its Budget surplus target broadly intact, delivering a set of economic and fiscal forecasts marginally revised from May to reflect weaker commodity prices and a lower tax take. More>>

ALSO:

Convention Centre: Major New SkyCity Hotel And Laneway For Auckland

Today SKYCITY Entertainment Group Limited revealed plans to build a new hotel and pedestrian laneway of bars, restaurants and boutique shopping on land it owns in the Nelson and Hobson Streets block, expanding the SKYCITY Entertainment Precinct. More>>

ALSO:

Get More From Scoop

 
 
Computer Power Plus

Standards New Zealand

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