Tourism Holdings Limited Takeover Falls Short

ASX/NZX & MEDIA ANNOUNCEMENT

TOURISM HOLDINGS LIMITED TAKEOVER FALLS SHORT

MFS Living and Leisure Group (ASX/NZX: MPY) has announced acceptances received in its takeover offer for Tourism Holdings, which closed on 21 July, reached 83.01%.

This means it has not achieved the 90% acceptance level to allow for compulsory acquisition for the remaining Tourism Holdings’ shares. The offer was subject to the 90% condition being achieved.

Despite the outcome, MPY chief executive, Marshall Vann, noted the widespread THL shareholder support for the deal. “We always made it clear that the offer was $2.80, closed last Saturday and needed 90% acceptances. We have never waivered from this position.”

Acceptances increased from 25.47% to 83.01% in the final five days of the offer with a strong final rush of acceptances.

“We thank those shareholders who saw this as a very good offer and who accepted. A small number of institutions that chose not to accept the offer probably held us back from achieving our 90% acceptance level.”

Under the terms of the offer, the acceptances received will now lapse. Shareholders who accepted the offer are now free to deal with their holding as they wish.

“We will be looking for opportunities in New Zealand in the future and will keep the market informed of any developments.”

He said no decision had been reached about what MPY would do with its 10% stake in Tourism Holdings, which it acquired during the course of the takeover.

MPY listed on the New Zealand stock exchange on June 22, 2007.

Mr Vann said “MPY will still remain listed on NZX as we believe that its high yield and favourable tax position for New Zealand resident tax payers makes it an attractive investment.”

ENDS

© Scoop Media