Richmond board reshuffled after PPCS takeover

1.00pm

Five Richmond board members resigned today following confirmation that PPCS has succeeded in its takeover bid for the Hawke's Bay meat processor.

In a statement to the stock exchange this morning, Richmond announced that chairman Sam Robinson and board members Malcolm Don, Rod Pearce, Craig Boyce and Warren Larsen have resigned from the board effective today.

PPCS chairman Jim Pringle thanked the men for their service to Richmond. Remaining on the board are Reese Hart, who also sits on the PPCS board, and Ian Farrant, who will take over as chairman.

Joining the board will be Bruce Hancox, PPCS board member Rupert Curd and PPCS chief executive Stewart Barnett.

Mr Pringle said the board would meet within the next month to agree on the future strategy for the integration of PPCS and Richmond.

He also said a supplier council would be set up to interact with both the PPCS and Richmond boards to ensure ongoing representation from Richmond suppliers.

PPCS now holds a 97.03 per cent stake in Richmond and said today it would move to compulsorily acquire the remaining shares and delist Richmond from the stock exchange.

PPCS' $3.11 share takeover offer closes today and marks the end of an acrimonious battle for control which has been waged for over six years. Richmond yesterday announced the payment of a special 22 cent per share dividend, which was conditional on the success of PPCS' takeover bid.

PPCS' success will create a meat industry giant, more than twice as big as its nearest rival, with revenues of more than $2 billion a year and ownership of 23 meat plants from Dargaville to Balclutha.

- NZPA