NZ stocks: Otter's chiefs to call for time

By ELLEN READ

Takeover wrangles and annual meetings continue apace this week, with one company combining the two when shareholders in takeover target Otter Gold Mines meet on Thursday.

Australian mining giant Normandy NFM has made a formal bid for the languishing company, offering 1.9 of its shares for every 100 Otter shares.

Normandy announced a month ago its intention to buy Otter Gold in what Otter company secretary Peter Liddle described as a "not hostile, but complicated" offer.

Shareholders have received the offer but directors are likely to tell the meeting it is too early for them to comment fully.

Today, an announcement is expected on the price at which the Government is buying $585 million of Air New Zealand shares.

The market expects the price to be set around 30c a share, which would give the Government close to 80 per cent of the airline.

On Friday, the underperformance of the Australian business will be the main topic of conversation at The Warehouse annual meeting.

The transtasman retailer recently reported group sales of $385 million, compared with $353 million the previous year.

It said sales through the group's Australian stores were up 12 per cent to $A84.5 million ($106.7 million) and it was delighted with the result.

Some analysts had expected sales growth of 15 to 20 per cent, although the quarter last year was strong because of the retail boom from the Sydney Olympics.

Brokers and analysts expect the standoff to continue between France's Groupe Danone and the independent directors of Frucor Beverages.

The directors remain adamant that Danone's $2.35-a-share offer price is too low and have urged shareholders to delay making a decision.