Tower shareholders approve Dai-Ichi deal
Tower Australia’s non-Dai-Ichi Life shareholders have voted overwhelmingly in favour of a scheme of arrangement whereby Dai-Ichi would acquire all ordinary shares in Tower Australia that it does not already own.
In a statement to the Australian Securities Exchange (ASX), Tower stated that it would apply to the Federal Court for approval of the scheme at a hearing scheduled for 21 April.
Subject to that approval non-Dai-Ichi Life shareholders would then be entitled to $4 cash per share, expected to be paid on 11 May, Tower stated.
This represents a premium of 46.5 per cent to the ASX closing price of Tower Australia shares on 24 December 2010, the last day of trading before the Dai-Ichi Life offer was announced, according to Tower.
More than 97 per cent of non-Dai-Ichi Life shareholders and 99.78 per cent of total shareholders voted in favour of the resolution, according to Tower.
The proposed ownership change would add to the strength of the company, expanding services to customers and providing more opportunities for the business and its staff, said Tower chairman Rob Thomas.
Dai-Ichi Life intends that the Tower board remain unchanged, although Dai-Ichi Life may add one of its own directors to the board, he said.
Recommended for you
ASIC has permanently banned a former Perth adviser after he made “materially misleading” statements to induce investors.
The Financial Services and Credit Panel has made a written order to a relevant provider after it gave advice regarding non-concessional contributions.
With wealth management M&A appetite only growing stronger, Business Health has outlined the major considerations for buyers and sellers to prevent unintended misalignment between the parties.
Industry body SIAA has said the falling number of financial advisers in Australia is a key issue impacting the attractiveness and investor participation of both public and private markets.
