Richmond rebels set for new fight with PPCS

By IRENE CHAPPLE

A disgruntled group of Richmond shareholders were yesterday gearing up for a new battle after the Privy Council rejected their plea to let them continue their fight against PPCS, the meat company's majority shareholder.

The Privy Council's decision not to grant an appeal to the Bell Group comes after a bitter, four-year battle between Dunedin-based PPCS and shareholders in Hastings-based Richmond.

It leaves intact a Court of Appeal decision that overturned a High Court ruling penalising PPCS for the way it purchased its controlling stake in Richmond.

PPCS now holds 63 per cent of Richmond and some of the remaining shareholders - different percentages are given by the opposing parties - now want to get out.

Bell Group spokesman Robin Bell said PPCS should make a full takeover bid at $3.11 a share. He said PPCS made that offer in the Court of Appeal and it should be honoured.

But PPCS's chief operating officer, Keith Cooper, said the offer was made only if the Bell Group did not appeal the decision.

A fight appears to be brewing over whether seeking leave to appeal is the same as appealing.

Bell said the minority shareholders would want the opportunity to decide if they could leave.

"They were very unhappy about PPCS taking control of the company so I imagine that would translate into wanting the opportunity to depart."

He said he would not be surprised if the issue ended up being litigated.

But Cooper said PPCS had no intention of making an offer and the issue was a "sideshow".

Richmond shares closed up 9c at $2.60 yesterday.