Smurfit takeover deal on track
Mr Justice Peter Kelly also approved of next Tuesday, September 3, as the closing date for the deal.
The move clears the way for a 200m-plus windfall for Smurfit boss Dr Michael Smurfit.
Although the High Court had earlier been told the group did not expect any opposition from shareholders or creditors to the takeover deal, it was opposed in court yesterday by one shareholder, Kevin Anderson, who objected on technical grounds in relation to a poll of shareholders, which had been taken on July 29. Judge Kelly said he had not been satisfied Mr Anderson had demonstrated either on the facts or in law any basis on which the court should withold its approval to the takeover.
Bill Shipsey, SC, counsel for the group, had earlier told the court that members had voted with their feet in favour of reducing share capital by 10 million 30 cent ordinary shares to facilitate the takeover. He said that at an extraordinary general meeting on July 29 last, 99.6% of shareholders either in person or by proxy had voted in favour of the Madison Dearborn takeover offer, which could not become effective until the court sanctioned the scheme.
Mr Shipsey had earlier been granted a direction dispensing with a Companies Act requirement to produce a list of creditors. He said the company’s creditors consisted mainly of special advisers who were owed 1.284 million. The company had received 5 million as part payment of an inter-company loan.
