PM Transcripts

PRIME MINISTER PRESS STATEMENT NO. 4
7 December 1972
TAKiEOTR FREEZE
The Prime Minister, Mr. Whitlam, has frozen a taceover
offer by a U. K. company for a controlling interest in a Victorian
valve manufacturer. An interim order has been gazetted today to prevent
the transfer of any shared in the Victorian company for three
months. The Victorian co. pany is M. B. John and Hattersley Ltd.
Its main activity is the design and manufacture of valves and
fittings for pipelines and pressure vessels.
With total assets of about $ 22 million and net tangible
assets of about $ 13 million, it is believed to be the largest
manufacturer of industrial valves in the Southern Hemisphere.
The takeover offer has been made by Pegler-Hattersley
Ltd., the largest manufacturer of industrial valves in the U. K.
Pegler-Hattersley already owns 20.8 per cent of the
issued capital of M. B. John and Hattersley.
On 28 November it invited M. B. John's shareholders to
accept an offer of $ 2.30 a share for up to a further 40.8 per
cent of the Victorian company's issued capital.
This would have given Pegler-Hattersley a 61 per cent
interest in M. B. John and Hattersley.
Mr. . Thitlem has therefore decided to issue an interim
order under Section 13( 6) of the Companies ( Foreign Takeovers)
Act, prohibiting implementation of the takeover offer for three
months. He did this after discussions with Mr. Frank Crean,
and the Treasury.
The order will enable an examination to be made to
determine whether or not the takeover is contrary to the national
interest. The gazettal of the order will prevent the transfer of
any shares in M. B. John and Hattersley from today.
CANBERRA., A. C. T. d~ h
AUBTRALIA