RailAmerica starts doing the rounds

By PAUL PANCKHURST

The company bidding for Tranz Rail, RailAmerica, says it will this week be doing the rounds of the takeover target's shareholders, creditors, and bankers - as well as fronting up to the politicians.

Marinus van Onselen - the managing director of RailAmerica's Australian operation, Freight Australia - is scheduled to meet Finance Minister Michael Cullen tomorrow.

While the Tranz Rail story chugs on, Restaurant Brands, Trans Tasman Properties, Fisher & Paykel Healthcare and Southern Capital will also get turns in the spotlight this week.

The Shareholders' Association will front up to the Restaurant Brands annual meeting in Auckland on Wednesday after asking for more disclosure on the performance of the Starbucks coffee chain.

Another company facing questions from shareholders, Trans Tasman Properties, holds its annual meeting on Thursday.

In the background is a live legal action by two shareholders - Latimer Holdings and John Powell - claiming the major shareholder, SEA Holdings, is conducting the company's affairs for its own benefit.

Trans Tasman and SEA have rejected the claims.

Fisher & Paykel Healthcare's result for the year to March 31 is out the same day. Brokers believe the company's sales have been strong.



JBWere was picking earnings before interest and tax for the fourth quarter of $18.2 million.

The broking firm predicted a full year result of $71.8 million in net profit, with shareholders reaping a 50cps dividend.

Also on Thursday, a special meeting of Southern Capital shareholders in Wellington will be asked to approve the $17.8 million purchase of the remaining 50 per cent of Hirequip.

Executive chairman Graeme Wong said: "We haven't encountered anybody who thinks that it's not a good proposal - at this stage, we're pretty confident that shareholders will approve it."