KEY POINTS:
The $2.80 a share cash bid for Tourism Holdings Ltd (THL) from Australia's MFS Living and Leisure is within a range of valuations of the company by an independent appraiser.
A report by Ferrier Hodgson has valued the company in a range between $2.67 and $3.07, THL said in a statement to the stock exchange today.
The report has been referred to the Takeovers Panel and is expected to be publicly available in the next 48 hours. It does not make a statement about fairness.
However, the bid which values New Zealand's biggest tourism attraction operator at $277 million still has to win over a number of key shareholders, including an investor in New York and New Zealand's Sir Selwyn Cushing.
Independent directors are recommending the bid.
THL owns Kelly Tarlton's Antarctic Encounter and Underwater World, a concession on tours through Waitomo glow worm caves, Fullers Bay of Islands, Milford Sound Red Boats, Milford Deep Underwater Observatory, Awesome Adventures and a fleet of Maui, Britz, Skiwi and Backpacker Branded motor homes and vans tourists use to get around attractions.
The bid is unusual because the bidder has not built up a stake first and did not talk to a US group that emerged as a 17 per cent holder in the last year.
Companies associated with Sir Selwyn also own a potentially blocking stake.
The bid price is a 29 per cent premium to the market price in the five days prior to its announcement. But it is conditional on getting 90 per cent acceptances.
MFS operates aquariums, ski-fields and tree-top walks.
- NZPA
