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

 

Bethunes Announces Acquisition of Transport Investments

Bethunes Announces Acquisition of Transport Investments Limited business.


Bethunes Investments Limited (NZX: BIL) (Bethunes) is pleased to announce that it has today entered into an agreement to acquire the transport and logistics business of Transport Investments Limited (TIL) for a purchase price of $200 million (subject to adjustments for net debt and movements in working capital), to be paid through a combination of shares and cash.

TIL is one of New Zealand’s largest private domestic freight and logistics platforms, with a nationwide network of branches, depots and warehouses. It generated over $320 million in pro forma revenue in its financial year ended 30 June 2017. TIL’s activities include transporting and warehousing freight throughout New Zealand and co-ordinating freight movements offshore through international alliances. It also has a specialist road tanker division which is the single largest operator in the New Zealand fuel delivery market.

TIL operates under a range of well-known brands including: Hooker Pacific, TNL, Roadstar, Pacific Fuel Haul, TIL Freight, McAuley’s, MOVE Logistics and NZL.

Chairman of Bethunes, Mr Chris Swasbrook, said:

“The directors of Bethunes have for some time been looking for a high quality investment opportunity to present to shareholders. Our criteria has been a business which is well established, with strong and sustainable cashflows, considerable growth opportunities and one which will provide long term value for shareholders. Transport Investments Limited meets all these requirements.”

Chairman of TIL, Mr Jim Ramsay, commented:

“TIL has been evaluating a public listing for some time. When the opportunity arose to participate in a reverse listing through BIL we decided this would provide existing TIL shareholders with a commercially sensible, viable and timely path to the NZX. We are pleased with the arrangements agreed and look forward to bringing TIL to the public domain with the support of over 300 existing BIL shareholders.”

The acquisition is conditional upon the approval of shareholders of both TIL and Bethunes. A special meeting of TIL shareholders is expected to be held in early November, and a special meeting of Bethunes shareholders in late November/early December, to approve the acquisition. Bethunes shareholders will be sent:

• a notice of special meeting detailing the terms of the acquisition.
• an Independent Report on the proposed transaction prepared by Grant Samuel & Associates Limited.
• a Listing Profile detailing the transport and logistics business of TIL.

These documents will be distributed to Bethunes shareholders at least ten business days prior to the special meeting. If the acquisition is approved, Bethunes will consolidate its shares prior to completion and details of this intended share consolidation follow.

Concurrent with the acquisition, and in order to part fund the cash component of the purchase price, Bethunes intends to undertake a private placement involving the issue of at least $8.65 million of new shares in Bethunes to selected wholesale investors.

Following the acquisition, Bethunes intends to change its name to TIL Logistics Group Limited (NZX: TLL). The existing Bethunes directors will resign and be replaced by a new board of directors with in-depth industry and governance experience comprising Jim Ramsay, Trevor Janes, Lorraine Witten, Danny Chan and Greg Kern.

ENDS

© Scoop Media

 
 
 
Business Headlines | Sci-Tech Headlines

 

Auckland Transport: Successful Bridge Repair Opens Two Additional Lanes To Traffic

The opening of two additional lanes on the Auckland Harbour Bridge this morning will help relieve some motorway congestion for motorists heading home to the North Shore tonight. More>>

ALSO:

Statistics New Zealand: COVID-19 Sees Record 12.2 Percent Fall In New Zealand’s Economy

Gross domestic product (GDP) fell by 12.2 percent in the June 2020 quarter, the largest quarterly fall recorded since the current series began in 1987, as the COVID-19 restrictions in place through the quarter impacted economic activity, Stats NZ said ... More>>

ALSO:

Climate: Scientists Release ‘Blueprint’ To Save Critical Ecosystems And Stabilize The Earth’s Climate

A group of scientists and experts produced the first comprehensive global-scale analysis of terrestrial areas essential for biodiversity and climate resilience, totaling 50.4% of the Earth's land. The report was published in Science Advances ... More>>

ALSO:

MPI: Independent Review Launched Into Assurances For Safe Transport Of Livestock By Sea

The Ministry for Primary Industries (MPI) has launched an independent review of the assurances it receives for the safe transport of livestock by sea. MPI Director-General Ray Smith says Mike Heron QC has been appointed to lead the review, which is expected ... More>>

ALSO:


Computers: New Zealand PC Market Grows Nearly 40% Due To Work From Home Demand

COVID-19 had large impacts on demand for PCs as businesses prepared for lockdowns by purchasing notebooks to mobilise their workforce. In the second quarter of 2020, New Zealand's Traditional PC market experienced a 39.7% year-on-year (YoY) growth ... More>>

ALSO:


University Of Auckland: Whale-Watching By Satellite – Follow Their Travels Online

Scientists have successfully attached satellite tracking tags to six New Zealand southern right whales, or tohorā, and are inviting the public to follow the whales’ travels online. Part of a major research project involving the University of Auckland ... More>>

Commerce Commission: Kiwibank Admits System Failures And Agrees To Pay Customers $5.2 Million

Kiwibank has entered into a settlement agreement with the Commerce Commission after reporting that it failed to have in place robust home loan variation disclosure policies, procedures and systems. In a settlement dated 27 August 2020, Kiwibank admitted that ... More>>

Ministry of Health: Public Transport Distancing Requirements Relaxed

Physical distancing requirements on public transport have been reviewed by the Ministry of Health to determine whether they are still required at Alert Level 2 (or below). The Ministry’s assessment is that mandatory face covering and individuals tracking ... More>>

ALSO:

NZHIA: New Zealand Hemp Industry Set To Generate $2 Billion Per Annum And Create 20,000 Jobs

A new report says a fully enabled hemp industry could generate $2 billion in income for New Zealand by 2030, while also creating thousands of new jobs. Written by industry strategist Dr Nick Marsh, the report has prompted calls from the New Zealand Hemp ... More>>

ALSO:

Stats NZ: One In 14 Employed People Report High Risk Of Losing Jobs

About one in 14 workers say they expect to lose their job or business by mid-2021, Stats NZ said today. A survey of employed people in the June 2020 quarter showed 7 percent felt there was a high or almost certain chance of losing their job or business ... More>>

ASB Quarterly Economic Forecast: NZ Economy Doing Better Than Expected, But Challenges Remain

August lockdown estimated to have shaved 8% off NZ’s weekly GDP, and 0.5% off annual GDP Economy now expected to shrink 5% (year-on-year) by end of 2020 Unemployment rate now expected to peak at 7.2% The latest ASB Quarterly Economic Forecast is less ... More>>

ALSO: