INM share buyback continues

INDEPENDENT News and Media (INM) share buyback continues, pushing the combined holdings of the board and the company to 31.6%.

However, the company is refusing to explain why this level of shareholding has not triggered a rule nine takeover bid for the company.

A spokesman for INM refused point blank to explain to the Irish Examiner why the rule nine rule does not apply at this juncture.

Once an investor, or investors acting in concert, acquire more than 29.9% of a company they must make an offer for the entire company.

A spokesman for the Irish Takeover Panel said it is not their policy to comment on matters of this nature.

However, an INM's spokesman did tell RTÉ's onBusiness website that for the purposes of Irish Takeover Panel calculations the O'Reilly family's stake is structured, so it is treated separately.

Yesterday INM, owners of the Irish Independent, disclosed to the stock exchange that following the purchase of 350,000 shares on

Friday the wholly owned subsidiary Independent Newspapers Management Services now holds a 2% stake in INM.

The board of INM holds a 29.6% stake in the company, including a 26.8% holding of €153.7 million shares belonging to executive chairman Sir Tony O'Reilly.

Combining the board's entire holding of 29.6% and 2% held by the company's subsidiary the board now effectively controls 31.6% of the company.

If the 2% held by the INM subsidiary is

considered to be out of play the board of INM's increased stake in the company is also perilously close to breaching the 29.9% barrier.