FOLLOWING the share counting debacle a fortnight ago, Brookfield has not secured enough interest in Multiplex and yesterday announced an extension on the offer period.
This is the second extension for the Canadian based asset manager has made for its $4.23 billion Multiplex bid, previously extending the period from August 30 to September 28.
Yesterday, Brookfield said the offer had been extended to October 31.
Analysts said the move was widely expected following the share counting debacle.
Earlier this month, Brookfield revealed it had overstated its interests in Multiplex when it said it had secured 61.72% relevant interests in the construction giant.
Instead, Brookfield through its associate Brookfield BidCo (Australia) only held 32.66% in Multiplex and total interest of 47.11% including instructions held under institutional acceptance facility.
The recount meant Brookfield had not achieved the first condition of its bid, that it must secure a minimum 50.1% ownership of Multiplex shares.
As a result of the debacle, Brookfield was also forced to issue Multiplex securityholders who accepted the offer between August 17 and September 03 2007 with withdrawal rights, which allows them to withdraw their acceptances of the offer.
Brookfield said acceptances of the offer between the period comprised 4.51% of Multiplex securities across 2,400 securityholders.
Since then, Brookfield said as at September 14, it held 49.15% of Multiplex securities, including 32.92% in relevant interests and 16.23% held under institutional acceptance facility.
And Brookfield had only 40.74% of voting power.
Australian Property Journal
