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Bapcor inches closer to Hellaby target

NZ Newswire logoNZ Newswire 4/01/2017 Sophie Boot

ASX-listed auto parts company Bapcor has built a 48.7 per cent stake in Hellaby Holdings, creeping closer to winning control of its NZX-listed target.

Bapcor had previously held 47.5 per cent of Hellaby on December 28, 2016. 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 allow it to enforce mop-up provisions to take the company private.

However, Bapcor has said it may waive the 90 per cent target, making its offer conditional on it getting acceptances for 50 per cent of the voting rights, which it says it's confident of achieving, and its board will consider that option in early January.

As of the latest disclosure, it has conditional acceptances for a further 1.14 million shares, or about 1.2 per cent, based on the offer becoming unconditional. Its previous disclosure had conditional acceptances for 1.5 per cent of the shares.

Hellaby operates automotive companies such as BNT and Diesel Distributors as well as shoe retailers Hannahs and Number One Shoes.

Its board has advised shareholders not to accept the offer, which it says undervalues the company.

Hellaby shares last traded at $3.52, up 20 per cent in the past 12 months, while ASX-listed Bapcor last traded at $A5.95, up 43 per cent from a year earlier.

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