PROPERTY developers Menzies Court and Cedar Woods have baulked at a merger proposal after at least a fortnight of secret negotiations.Industry sources said an announcement of the merger was to be made last Friday, but was called off that day after the two WA companies failed to reach agreement over the new structure of the company.Speculation over the merger talks first emerged in Mandurah’s real estate and building contracting circles several weeks ago, fuelled by talk from company representatives. Both companies are remaining tight-lipped about the merger talks.Asked by Business News about the merger plans, Cedar Woods acquisitions and marketing manager Michael Glendinning and Menzies Court CEO Ross Neumann tried to play down the talks describing it as an issue not worth reporting.Mr Neumann acknowledged that merger talks had been carrying on for about two weeks before they fell apart. But he did not rule out further merger talks with Cedar Woods in the future.A natural synergy exists between both companies. Both are heavily involved in Mandurah property developments – Menzies Court at Port Bouvard and Cedar Woods at Port Mandurah and Mariners Cove.Both Menzies Court and Cedar Woods are trading at 12-month lows. Early this week, Menzies Court was trading at 12.5 cents, down from a year-high of 20 cents, while Cedar Woods, which has dropped about 10 cents in the past six weeks, was trading at 45.5 cents down from a 12-month high of 83 cents.
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