Leighton's stake won't change Macmahon's direction: Carter

East Perth-based Macmahon Holdings Ltd chairman Dick Carter has assured shareholders that the acquisition of 11.5 per cent of the company's issued capital by Leighton Holdings Ltd would not change the company's business direction.

Engineering and construction company Leighton Holdings Ltd doubled its stake in Macmahon to 11.5 per cent on Tuesday, while announcing it had no plans to make a takeover offer for the company,

The full text of the Macmahon announcement is pasted below

The Board of Macmahon Holdings Limited (ASX:MAH) has responded to the substantial shareholder notification by Leighton Holdings Limited of its 11.5 per cent shareholding in Macmahon.

The Chairman, Dick Carter, noted that Leighton has increased its shareholding to the current level after Macmahon advised that it did not wish to pursue Leighton's indicative and unsolicited proposal to acquire a significant stake in Macmahon by way of a share placement.

"The fact that Leighton is on the Macmahon share register does not change the Group's strategic business direction," he said.

"Our strategy has resulted in Macmahon emerging as a top tier contractor in the construction and mining sectors. This has led to a greater presence on the eastern seaboard, complementing our market position in Western Australia. No doubt this success has attracted considerable interest."

"The Board and management of Macmahon will continue to pursue opportunities for the benefit of all our shareholders," Mr. Carter said