TP02/027
The Panel advises that it has received an application from RFC Corporate Finance (as agent for a group of shareholders) in relation to a break fee entered into by Ballarat Goldfields.
Ballarat granted the break fee to Rexadis P/L (a company associated with past or present officers of Ballarat) in relation to a proposal by Rexadis to acquire the core gold assets of Ballarat.
RFC asserts that size of the break fee is too large, especially when it had put forward an alternative proposal for Ballarat shareholders to consider for the future of their company.
Shareholders of Ballarat are currently due to vote on the Rexadis and the RFC proposals on 28 May, 2002.
Trading in shares in Ballarat on ASX is currently suspended because Ballarat has not yet released its annual report for the year ended 30 June 2001. Ballarat has agreed to consent orders sought by ASIC that it publish its accounts for the period ending 30 June 2001, by 24 May 2002.
The acting President of the Panel, Mr Simon Mordant, is currently assembling a Panel to sit on the application.
Nigel Morris
Director
Takeovers Panel
Ph: +61 3 9655 3501
nigel.morris@takeovers.gov.au
