Published 2 October 2005
NZX Regulation has found Oyster Bay Marlborough Vineyards Ltd breached the listing rule over its grape price agreement with takeover bidder Delegat’s Wine Estate Ltd, but said the matter wasn’t serious enough to put to NZX Discipline.
However, Oyster Bay would have to get its sales procedure ratified at the next annual meeting. If shareholders (excluding Delegat’s) don’t ratify the sales procedure, NZX Regulation will refer the matter to NZX Discipline.
NZX Regulation said the procedure adopted for determining the price at which Oyster Bay sold its produce to Delegat’s fell outside the scope of the waiver, so the determination breached the listing rule.
Substantial Oyster Bay shareholder, and so far unsuccessful bidder, Peter Yealands Investments Ltd alleged hat, apart from timing & procedure, the independent viticulturist employed to assess the transaction wasn’t independent.
NZXR said it had received confirmation from Oyster Bay & the independent expert “that the independent expert was in fact independent and that the listing of Oyster Bay as well as Delegat’s as a ‘highlight’ client on his website was a mere oversight.”
14 September 2005: Takeovers Panel to look at Oyster Bay vineyard valuations complaint