Abano Healthcare Group Limited (NZX: ABA) advises that it has received notice
that Healthcare Partners Holdings Limited has sent its partial takeover offer
to Abano shareholders.
Healthcare Partners is a company associated with Peter and Anya Hutson and
James Reeves, who have all been involved in previous attempts to gain control
of Abano and to force changes to Abano''s Board.
The Abano Board reiterates its advice to shareholders to take no action in
respect of the offer and wait for the Board''s recommendation and the
Independent Adviser''s Report. These will be incorporated in Abano''s Target
Company Response which will be sent to shareholders next week.
The preliminary view of the Abano Board is that the partial nature of the
offer is not in the best interests of shareholders.
Healthcare Partner''s proposed offer is NOT an offer for all shares. The offer
price is only payable on the shares taken up under the offer. If the partial
takeover offer succeeds, it is highly likely that scaling will apply and
shareholders will only receive the takeover price for a portion of their
shares (potentially only 38% if all shareholders accepted the offer for all
their shares). It is very likely shareholders would retain a majority of
their shares in Abano. The company would then be controlled by Healthcare
Partners and its directors.
It is also likely that the value of Abano''s shares post-offer, and the
ability to sell those shares, would be adversely affected.
There is no advantage in accepting early. Acceptances are not treated on a
''first in, first served'' basis. Rather acceptances will be subject to scaling
if total acceptances exceed the number of shares being sought under the
offer. If you accept the offer, you will not be paid until after the offer
closes.
If Healthcare Partners reaches its acceptance target in the last seven days
of the offer, the offer period will automatically extend for 14 days. If this
occurs, or if Healthcare Partners reaches its acceptance target earlier,
Abano''s Board will let you know as soon as possible so you can consider what
to do with your shares.
Shareholders are urged to TAKE NO ACTION and wait until they receive the
Target Company Statement from the Abano Board.
ENDS
End CA:00294068 For:ABA Type:TAKEOVER Time:2016-12-09 16:45:48