KEY POINTS:
There was no word today on what Crescent Capital Partners would do with its 19.7 per cent stake in Abano following the failure of its takeover bid on Friday.
Just under 18 per cent of Abano shareholders accepted Crescent's $5.20 per share, giving the Australian private equity investor 37.6 per cent of its target, but not enough to go unconditional.
Abano's board strongly recommended rejecting the offer, saying the dental, audiology and radiology group had greater future value.
Now the takeover action has lapsed, Abano has confirmed a delayed dividend of 13c per share, representing the unpaid interim dividend and accounting for lost tax credits.
Abano chairwoman Alison Paterson said she did not know what Crescent would do, but her company now had to heed the fact it had two cornerstone shareholders.
Former shareholder Masthead Portfolios sold its 19.9 per cent stake to Healthcare Industry after failing to achieve a partial takeover of Abano.
Crescent Capital's executive director Michael Alscher was not available for comment today.
Abano shares were down 5c to $4.40 today in a broadly lower market.
Asked whether there was now relief in the Abano camp, the company's managing director Alan Clarke said it was good not to have the distraction of two consecutive takeover bids.
Now the company had to deliver on its forecasts, which he said were being driven both by acquisition and organic growth.
The gloomy economic outlook was also less of a concern.
" Healthcare is not entirely affected by economic activity, it is not the same discretionary activity as buying a motorcar or buying a new television for example. So there's a level of protection.
"We are very aware that the economy is a very different place today to that which it was last year.
"However ... as part of this process, we had to make sure that shareholders, investors, analysts had a very good view of what the company's prospects are in both the near term and medium term."
Abano's annual net profit was forecast to rise to $7.9m for the current year, up from $5m last year.
It has forecast record annual revenues of about $125 million, and earnings before interest, tax, depreciation and amortisation (ebitda) of $23.9 million.
For 2009, the company is projecting a net after-tax profit of at least $10.5 million and ebitda of at least $28.9 million.
- NZPA
