Hart passes 60pc in bid for Carter Holt Harvey

Graeme Hart's bid for full control of Carter Holt Harvey is gaining traction. The billionaire investor's Rank Group last night told the New Zealand Exchange it had passed the 60 per cent mark in its bid for the forest products company.

That represents a big jump from the last disclosure - 53.9 per cent declared on Monday.

Hart already has a controlling stake in CHH - paying $1.7 billion to buy 50.5 per cent of the company from US giant International Paper.

His on-market bid for the remainder of the company is due to close at 5pm today.

But while Hart has said he will not lift his price of $2.50 a share, there is nothing to stop him extending the deadline on the unconditional offer.

Analysts said yesterday that volatility in the Australian stock market might be playing into Hart's hands.

The Australian benchmark S&P/ASX200 index has dropped about 4 per cent in the past week. Investors were "lightening their portfolios" across the board, said Macquarie Equities investment director Arthur Lim.

"As much as people might think Hart is going to do good things with Carter Holt, the volatility makes them more likely to take the money for a short-term gain."

CHH shares have actually traded below $2.50 in the past few days.