Home / Knowledge / News / Textiles / New Zealand WSI awaits Court decision before raising fresh capital
New Zealand WSI awaits Court decision before raising fresh capital
19
Nov '11
New Zealand Wool Services International (WSI) is awaiting the High Court's ruling as to whether Cavalier is authorized to bid for WSI or not, and based on this decision only the firm would carry forward its plans to raise fresh capital.

As stated by WSI Chairman Derek Kirke, it does not make sense in starting to raise capital till a certainty arises regarding several issues which presently are unanswered.

He, however, said that WSI stakeholders are puzzled over the WSI Board's silence, particularly when its opponent bidder Wool Equities Limited (WEL) has already started raising capital. The stakeholders have thus urged WSI to shed light on the situation.

When carpet producer Godfrey Hirst lodged a petition before the High Court challenging Commerce Commission's move of clearing Cavalier's US$ 40 million bid for WSI, WEL came into play and stated that its newly instituted firm New Zealand Wool Investment Company (Woolco) is interested in raising capital for acquiring WSI. WEL since announced a capital raising of US$ 77.4 million to fund the acquisition.

The WSI Board, Mr. Kirke said has remained most disinclined to publicly contest the merits of capital raising by WEL or Woolco, and has chosen to leave the wool growers and WSI shareholders to make their own cautious decisions.

If Cavalier is allowed to bid for and acquire WSI, the acquisition would earn it a monopoly over the wool scouring industry of the country.

According to the WSI Chairman, outcome of the High Court's ruling on the petition would play an important part in deciding WSI's future course of action and it would be imprudent of WSI to initiate raising of any capital till the outcome of the petition is known.

Fibre2fashion News Desk - India

Must ReadView All

Textiles | On 28th Mar 2017

India may impose duty on elastomeric filament yarn

The Government of India is likely to impose anti-dumping duty on...

Courtesy: Lee Cooper

Apparel/Garments | On 28th Mar 2017

CCI clears FLFL proposal to divest Lee Cooper

The Competition Commission (CCI) of India has approved the proposal...

Textiles | On 28th Mar 2017

Bardoli CEFC to benefit south Gujarat MSMEs

India’s first common engineering facility centre (CEFC) at Bardoli,...

Interviews View All

Evelyne Cholet
UCMTF

‘France had a reputation of being big in new ideas, but poor in marketing...

C Kamatchisundaram
Voltas

ITME is an occasion not only to receive new leads but also to work on...

Saket Garg
Garg Corporation

The biggest challenge is lack of skilled workforce and competition from...

Giorgio Mantovani
Corman S.p.A

Giorgio Mantovani, MD of Corman, with a presence in both Milano and New...

Larry L Kinn
Suominen Corporation

Larry L Kinn, Senior Vice President - Operations Americas of Suominen...

Kerem Durdag
Biovation II LLC

Kerem Durdag, CEO, Biovation II LLC, provides an insight into future...

Pranav Mishra
Huemn

Designers Pranav Mishra and Shyma Shetty’s Huemn is known for its...

Ritu Kumar
Label Ritu Kumar

‘Classics will return’ "There are a lot of people wearing western clothes ...

Sanjukta Dutta
Sanjukta's Studio

<b>Sanjukta Dutta</b> creates unique garments by clubbing prints of...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH
March 2017

March 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

SUBSCRIBE


Browse Our Archives

GO


eNEWS
Insights
Subscribe today and get the latest News update in your mail box.
Advanced Search