OAMPS recommends Wesfarmers' bid

Insurance broker OAMPS Ltd has released a target statement recommending shareholders take up the Wesfarmers offer of $4.50 per share.

The target statement was released in response to Wesfarmers' offer under the Bidder's Statement released to the ASX yesterday, giving shareholders until 7pm AEST on 27 October 2006 to respond.

A key factor for the recommendation by the OAMPS Board was price. The statement indicated that the offer of $4.50 per share was higher than any price for OAMPS shares prior to the announcement of the offer, around $1.02 above the average price for the prior three months of trading.

The statement included advice on how shareholders could go about accepting the offer and outlined the choices available to them under the conditions of the Wesfarmers Bidder's Statement.

According to the statement, the OAMPS directors had recently considered various proposals for creating value for OAMPS shareholders, and had concluded that the Wesfarmers takeover bid provided the best option for shareholders in terms of price and certainty.