etops1 said:
i was told by a really reliable source that richard branson was in pit today meeting with bruce lakefield. take it how you want to but this seems really interesting. we might be wearing red preety soon.
[post="246734"][/post]
Hmmmm... "Dick" has his hand's full with an attempted 'hostile takeover' of Virgin Blue in Australia. If this happens he may have lots of cash to invest..
http://www.atwonline.com/indexfull.cfm?newsid=4972
Virgin Group hits bump in try to slow Patrick bid for Virgin Blue
Dateline: Tuesday February 08, 2005
Richard Branson's Virgin Group failed in its effort to use a little-known regulation to force up the takeover price offered by its partner in Virgin Blue for the Australian budget carrier (ATWOnline, Feb 3).
Virgin is opposed to the takeover bid. Last week, the Australian Securities and Investments Commission ruled that Patrick Corp., the majority shareholder in Virgin Blue, is not required to lift its A$1.90 ($1.46) a share bid to above A$2 under Section 621 of the Corporations Law.
Virgin Group is deemed an associate of Patrick Corp. owing to their shareholder agreement relating to the airline, and as such it argued that Patrick was obliged under the "minimum bid" provisions to match the A$2.06 a share paid by Virgin for 5.1 million shares in Virgin Blue on the day Patrick announced its bid. This activity raised Virgin's holding in Virgin Blue from 24.6% to 25.1%.
However, ASIC granted Patrick's request for a waiver from the Corporations Law provisions for the purposes of its bid. "ASIC has determined that Virgin Group's acquisition of shares in Virgin Blue has no effect on Patrick's takeover offer for Virgin Blue," a brief statement from Patrick said. Patrick added that it was "unfortunate that this tactic has distracted shareholders from considering Patrick's offer."
Virgin Group could appeal the ASIC ruling to the Takeover Panel but is thought unlikely to do so.--Ian Thomas