Home / Knowledge / News / Textiles / New Zealand WSI awaits Court decision before raising fresh capital
New Zealand WSI awaits Court decision before raising fresh capital
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

Courtesy: Pexels

Fashion | On 23rd Jun 2018

Nigerian bank launches N1 bn fund for fashion entrepreneur

Nigeria’s Bank of Industry has set aside 1 billion Naira (N) to...

Courtesy: Tayal

Textiles | On 23rd Jun 2018

Tayal textile factory in Algeria starts exports to Turkey

Algeria’s largest textile factory, the joint Algerian-Turkish company ...

Courtesy: Manhattan Beachwear

Fashion | On 23rd Jun 2018

Manhattan Beachwear in global partnership with BCBG Group

Manhattan Beachwear, the largest swimwear manufacturer in the US, has ...

Interviews View All

Top executives
Textile & apparel bodies

Textile industry would like to see inclusion of cotton yarn under MEIS and ...

C Kamatchisundaram

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

Shawn Honeycutt
Bolger & O'Hearn

‘The Indian market is interesting and rather persistent in seeking new...

Abhishek Pachauri

Reckon Industries adapts latest systems for manufacturing from designing...

Mala Alwani

<div>Delhi-based fast fashion womenswear brand, Besiva, aims to bridge the ...

Vikas Banduke

Softech Controls Private Limited (SCPL) is a part of the Cotmac Group, an...

Marten Alkhagen
Swerea IVF AB

Marten Alkhagen, Senior Scientist - Nonwoven and Technical Textiles of...

Ashok Desai
Bombay Textile Research Association

Bombay Textile Research Association (BTRA) is a leading name in textile...

Johan Berlin
InvestKonsult Sweden AB

Investkonsult Sweden AB has been buying and selling second-hand textile...

Sidharth Sinha
Sidharth Sinha

<b>Sidharth Sinha</b> has contributed to the successful rebirth and...

Judy Frater
Somaiya Kala Vidya

Among the many honours showered on Frater, including Fulbright and Ford...

Yash P. Kotak
Bombay Hemp Company

One of the directors of Bombay Hemp Company, Yash P. Kotak, speaks to...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


Letter To Editor

(Max. 8000 char.)

Search Companies


Leave your Comments

June 2018

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

news category

Related Categories:

Advanced Search