Stock Exchange to look into Masfen breach claims

Claims that Montana chairman Peter Masfen and Allied Domecq breached Stock Exchange rules in the takeover battle for his company are finally being addressed by an exchange committee.

The three-member Standing Committee considering the Montana saga confirmed yesterday that it would meet next Thursday to consider submissions on procedural issues relating to the allegations.

Mr Masfen has described as mischievous claims by Lion that he unfairly favoured Allied in the takeover battle.

The protracted legal battle continues tomorrow, when the Standing Committee will consider whether Lion Nathan's latest two-tier offer for Montana complied with both Stock Exchange listing rules and the committee's June 29 decision, which found that Lion was in default of the rules.

The committee's ruling requires Lion to sell 19 per cent of Montana by July 27, cutting the brewer's stake from 62 per cent to 43 per cent.