The Takeovers Panel has today published its reasons for deciding to take no further action in relation to the application by Namakwa Diamond Company received 26 March 2001 for a declaration of unacceptable circumstances and orders in relation to the takeover bid for Namakwa by Majestic Resources. The application asserted contraventions of section 606, misleading or deceptive conduct and market manipulation. The Panel announced its decision on 1 May 2001.
The Panel decided that the evidence available to it of manipulation of the market in shares in Majestic and in Namakwa and of breaches of section 606 in relation to Namakwa was neither conclusive nor sufficient to justify further inquiry into those issues. It kept those issues under review as the bid developed.
The Panel required Majestic not to waive the minimum acceptance condition in the bid, without giving the Panel two business days' notice of its intention to do so, with details of the level of acceptances and the identities of the offerees who have accepted for parcels in excess of 5%.
The reasons are available on the Panel's website at www.takeovers.gov.au.
Director, Corporations and Securities Panel
Level 47 Nauru House, 80 Collins Street, Melbourne VIC 3000
Ph: +61 3 9655 3501