• Linkdin
Maximize your media exposure with Fibre2Fashion's single PR package  |   Know More

Naomi board members not supportive says Queensland CEO

04 Aug '05
3 min read

New South Wales based cotton industry marketing and trading company Queensland Cotton Holdings Limited reaffirms its commitment to giving growers a choice on its merger proposal following today's announcement from Namoi Cotton Co-operative Ltd (“Namoi”) that the Namoi Board has declined to put the merger proposal to its members.

Queensland Cotton CEO Richard Haire said the Namoi Board has not supported its stance with any detailed information. He said that Queensland Cotton strongly disputes all of the assertions Namoi's Board has used to justify preventing Namoi members from directly considering the merger proposal.

“They are disappointed that, despite receiving their written proposal over 3 weeks ago, the Namoi Board has now dismissed the merger proposal. They believe that they gave the Namoi Board every opportunity to discuss any concerns or alternatives to their proposal,” said Mr Haire.

“The Namoi Board has concluded that their proposal significantly undervalues Namoi but has not disclosed any specific basis for that conclusion.

“Namoi's capitalisation prior to their approach was approximately $63 million and as at 28 February 2005 its net assets amounted to $87 million. Their proposal is fully priced, valuing Namoi at approximately $109 million and taking into account available synergies and long run crop forecasts,” said Mr Haire.

Queensland Cotton simply does not accept that its approach has created “extensive negative feedback,” as asserted by Namoi.

Leave your Comments

Esteemed Clients

TÜYAP IHTISAS FUARLARI A.S.
Tradewind International Servicing
Thermore (Far East) Ltd.
The LYCRA Company Singapore  Pte. Ltd
Thai Trade Center
Thai Acrylic Fibre Company Limited
TEXVALLEY MARKET LIMITED
TESTEX AG, Swiss Textile Testing Institute
Telangana State Industrial Infrastructure Corporation Limited (TSllC Ltd)
Taiwan Textile Federation (TTF)
SUZHOU TUE HI-TECH NONWOVEN MACHINERY CO.,LTD
Stahl Holdings B.V.,
Advanced Search