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Bapcor gets half of Hellaby

NZ Newswire logoNZ Newswire 9/01/2017 Sophie Boot

ASX-listed auto parts company Bapcor now owns more than half of Hellaby Holdings, giving it the ability to make its takeover offer unconditional.

According to its latest disclosure on Tuesday, Bapcor now holds 50.1 per cent of the shares in NZX-listed Hellaby, an increase from the 48.7 per cent it held as of last Wednesday.

Under its takeover offer made in October, it wants to buy up to 90 per cent of Hellaby at $3.60 per share, a threshold which would let it enforce mop-up provisions to take the company private.

Hellaby is also in the auto business, owning outfits such as BNT and Autolign, as well as shoe companies Hannah and Number One Shoes.

In December, Bapcor said it may waive the 90 per cent condition, making its offer conditional on it getting acceptances for 50 per cent of the voting rights, with its board set to consider that option in early January. Bapcor was not immediately available for comment.

As of the latest disclosure, it has conditional acceptances for a further 1.37 million shares, or about 1.4 per cent, based on the offer becoming unconditional.

Hellaby's board advised shareholders not to accept the offer, which it said undervalues the company. In December, Bapcor lifted its offer to $3.60 from the initial $3.30 bid, but said it would not increase the price further despite Hellaby's directors seeking an additional 18 cents per share dividend.

Hellaby shares last traded at $3.52, up 23.5 per cent in the last year, while Bapcor last traded at A$6.03, up 51.5 per cent in the year.

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