Scoop has an Ethical Paywall
License needed for work use Register

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.


Advertisement - scroll to continue reading

Are you getting our free newsletter?

Subscribe to Scoop’s 'The Catch Up' our free weekly newsletter sent to your inbox every Monday with stories from across our network.

© Scoop Media

Advertisement - scroll to continue reading
Business Headlines | Sci-Tech Headlines

FMA: MAS To Pay $2.1M Penalty For Making False Representations

Following proceedings brought by the FMA, MAS has been ordered to pay a $2.1M penalty for making false and/or misleading representations to some customers. MAS admitted failing to correctly apply multi-policy discounts and no claims bonus discounts to some customers, failing to correctly apply inflation adjustments on some customer policies, and miscalculating benefit payments.More

IAG: Call On New Government To Prioritise Flood Resilience

The economic toll of our summer of storms continues to mount, with insurance payouts now topping $1B, second only to the Christchurch earthquakes. AMI, State, & NZI have released the latest Wild Weather Tracker, which reveals 51,000 claims for the North Island floods & Cyclone Gabrielle, of which 99% (motor), 97% (contents), and 93% (home) of claims have now been settled. More


Join Our Free Newsletter

Subscribe to Scoop’s 'The Catch Up' our free weekly newsletter sent to your inbox every Monday with stories from across our network.