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

 

Zhejiang Rifa makes full takeover offer for Airwork Holdings

China's Zhejiang Rifa makes full takeover offer for Airwork Holdings

By Rebecca Howard

Sept. 27 (BusinessDesk) - Rifa Jair Company, a unit of Zhejiang Rifa Holding Group Co, intends to make a full takeover offer for all fully paid ordinary shares of Airwork Holdings that it does not already own at a 21 percent premium to yesterday's closing price.

It currently has a 75 percent stake in the Auckland-based aircraft services business after a $5.40 per share partial offer went unconditional earlier this year. According to the offer documents, it will offer the remaining shareholders $5.20 per share. It has entered a lockup agreement with a number of shareholders lifting its stake to 90.3 percent, above the 90 percent threshold needed to enforce mandatory mop-up provisions. The stock closed yesterday at $4.30 and jumped 17 percent to $5.01 at today's open.

Rifa plans to delist Airwork from the NZX main board if it reaches sufficient acceptances to trigger the compulsory acquisition provisions. The offer is conditional on obtaining the required approvals, consents or orders necessary from the Administrative Committee of the Shanghai Pilot Free Trade Zone as well as from the People’s Bank of China or the State Administration of Foreign Exchange of the People’s Republic of China for Rifa to complete the acquisition in accordance with the offer.

A takeover committee, comprised of independent director Martin Gray, has been formed to consider the company’s response to any takeover notice and ensuing takeover offer. The takeover committee advises all shareholders to take no action, pending further guidance from the takeover committee.

While it intends to delist, the company will remain in New Zealand. "I can confirm that there are no intended changes to Airwork’s Board, management team or for staff, and that the company’s headquarters will remain based in Auckland, New Zealand," said Zhejiang Rifa Holding Group chairman Jie Wu in a letter to shareholders.


ENDS


© Scoop Media

 
 
 
Business Headlines | Sci-Tech Headlines

 

Government: Delivering Lower Card Fees To Business

Commerce and Consumer Affairs Minister David Clark has today announced the Government’s next steps to reduce merchant service fees, that banks charge businesses when customers use a credit or debit card to pay, which is estimated to save New Zealand businesses ... More>>

SEEK NZ Employment Report: April 2021

OVERVIEW OF APRIL 2021: STATE OF THE NATION: April, for the second consecutive month, saw the highest number of jobs ever advertised on seek.co.nz. Applications per job ad fell 9% month-on-month (m/m). SEEK job ads were up by 12% m/m. SEEK job ads were ... More>>

Commerce Commission: Warns Genesis Over Business Billing Errors

The Commerce Commission has issued a warning to Genesis Energy Limited about billing errors concerning electricity line charges to business customers. Genesis reported the errors to the Commission. The Commission considers that Genesis is likely to ... More>>

Stats: Lower Job Security Linked To Lower Life Satisfaction

People who feel their employment is insecure are more likely than other employed people to rate their overall life satisfaction poorly, Stats NZ said today. New survey data from the March 2021 quarter shows that 26 percent of employed people who thought ... More>>

The Conversation: The Outlook For Coral Reefs Remains Grim Unless We Cut Emissions Fast — New Research

A study of 183 coral reefs worldwide quantified the impacts of ocean warming and acidification on reef growth rates. Even under the lowest emissions scenarios, the future of reefs is not bright. More>>

The Conversation: Why Now Would Be A Good Time For The Reserve Bank Of New Zealand To Publish Stress Test Results For Individual Banks

Set against the backdrop of an economy healing from 2020’s annus horribilis , this week’s Financial Stability Report (FSR) from the Reserve Bank (RBNZ) was cautiously reassuring: the country’s financial system is sound, though vulnerabilities remain. More>>