Masthead woos Vertex shareholders

Masthead Equities today confirmed it had sent details of its $48 million takeover bid to shareholders and option holders in target firm Vertex Group.

Masthead is offering $1.90 a share. Vertex shares yesterday closed at $1.95 each, having been at $1.60 before Masthead announced its bid on March 1.

The Masthead offer values Vertex at $61m.

Masthead is the Stewart family's investment vehicle and already owns 19.9 per cent of Vertex. The takeover is conditional on obtaining 90 per cent acceptance.

Masthead also has a 40 per cent stake in Vertex rival Alto Plastics.

Earlier, Masthead executive Mark Stewart, who is also on the Vertex board, said the takeover was to turn around what had so far been a disastrous investment in the plastics firm.

- NZPA