The family of Michael Hill International's founder has succeeded in its latest bid to gain a controlling stake in the jewellery retailer, in spite of the independent valuer's report saying there was no compelling reason to accept.
Durante Holdings, an Australian incorporated company set up to acquire the shares ofthe Hill family's trusts, has received acceptances from shareholders controlling 12.1 million shares at 90 cents apiece, well above the 10 million shares originally sought, it said in a statement.
The bid was panned by the Grant Samuel report, which said shareholders would be better off selling on market, and valued the shares at between 98 cents and $1.15 apiece.
The partial takeover, which gives the Hill Family control over 50.2 per cent of the company, was helped across the line by two pre-bid agreements, after the ACC agreed to sell 3 million shares and the Guardian of New Zealand Superannuation agreed to sell 1 million shares.
The bid by the family of founder Michael Hill to lift its stake over 50 per cent was the second in just under six months. It abandoned an earlier attempt in September after the Takeovers Panel said it wouldn't grant an exemption to takeover rules.
Durante said scaling will undertaken to cope with acceptances exceeding its original target, and any shareholder wanting to participate in the offer have until the end of today to accept, when it officially closes.
The shares were unchanged at 88 cents today, and have gained 24 per cent over the last 12-months.
