Shotover bid raised

Ngai Tahu Holdings has raised its bid for the 18 per cent of Shotover Jet it does not already own, but the offer is still below an independent estimate of the shares' fair value.

Ngai Tahu, which already holds an 82 per cent stake in the adventure company, yesterday increased its takeover offer to 70c a share, 10c more than the original offer.

Both offers were made on the basis that a fully imputed dividend of 1.25cps, already announced, would be received by all shareholders.

Shotover's independent directors reminded shareholders that a Grant Samuel valuation found the company's underlying value was in the range of 82c to 94c per ordinary share.

The directors advised shareholders not to accept the offer before considering the Grant Samuel report and a Shotover Jet response to Ngai Tahu's offer, which would be mailed out tomorrow.

"Shareholders should carefully evaluate the independent report before making any decision on the offer," they said.

Shotover Jet shares closed up 6c yesterday at 71c. It posted a full-year profit of $4.05 million.

- NZPA