21/01/2009 - 22:00

Great Southern explores options

21/01/2009 - 22:00

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AGRIBUSINESS Great Southern Ltd is pursuing alternative options, including the sale of assets, as received proxy votes indicate investors may not be willing to exchange their interest in plantation projects for shares. However, the company is hoping that enough investors could still agree to exchange their interests in two cattle projects for Great Southern shares. The proposed company restructure was to be facilitated through a series of transactions to acquire the interests of investors in eight selected Great Southern pulpwood and cattle managed investment projects in exchange for new shares in the company. So far, a strong ‘yes’ vote has been cast for the two cattle projects with some 69 per cent of investors voting in favour. A target of 75 per cent is needed to approve the proposals. Great Southern said it appeared unlikely that proposals in relation to the plantation projects would be approved, based on current proxy votes. “Whilst supportive of the scheme proposals, in the absence of their approval the company has been pursuing alternative options and has commenced discussions with a number of interested parties regarding strategic business opportunities, including the sale or partial sale of various assets as previously foreshadowed to the market,” managing director Cameron Rhodes said.

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