KEY POINTS:
The battle for commercial property fund St John has intensified as Pen Investments Ltd waives the 90 per cent condition for its takeover bid.
Pen is competing with St Laurence Property and Finance Ltd for St John Balanced Property Fund Ltd , a $44m fund with over 700 investors.
Pen's owners, Ross and Dallas Pendergrast, are founding directors of St John and said they were "totally dedicated to its welfare" and d isappointed with the St Laurence offer.
That offer, they said, was 11 per cent below an independent assessment of St John's value.
Ross Pendergrast said Pen was now prepared to settle for a 51 per cent controlling share of St John so that investors could be certain that its takeover offer could go ahead.
He disputed a letter from financial advisers Northplan to its investors, saying the report lacked independence.
In December, St Laurence Ltd made an offer of $5460 per parcel of St John securities in December.
Pen responded on January 30 with an offer of $6060 per parcel.
Grant Samuel's valuation, released this week, put the value of the parcels at $6023, plus $75 of accrued interest.
The Pendergrasts' offer closes on March 23.
St Laurence holds just under 19 per cent of the voting rights in St John and has indicated it will not sell to Pen.
- NZPA
