Announcement regarding Babcock & Brown Capital Limited
LIT plc (“LIT”) announces that it has approached the Independent Directors of Babcock & Brown Capital Limited (“BCM”) with a non-binding indicative proposal for the acquisition of BCM (the “Proposal”). The Proposal is subject to certain assumptions, terms and conditions precedent and may or may not lead to an offer being made for BCM.
Due to the lack of responsiveness from the Independent Directors of BCM and their advisers, LIT has decided to revisit the course of action and would like to announce that LIT, together with funds managed by Laxey Partners Limited (“Laxey Partners”), LIT’s major shareholder, are considering whether to requisition an extraordinary general meeting (“EGM”) of BCM. LIT, together with funds managed by Laxey Partners, currently hold approximately 6.7% of the outstanding share capital of BCM.
The purpose of the EGM will be to ask shareholders to approve the appointment of three independent shareholder representatives to the Board of BCM representing the interests of all shareholders.
These independent shareholder representatives will ensure that the agreement that may or may not be reached with Babcock & Brown Management Pty Ltd regarding a potential internalisation of the existing management contract reflects the best interest of shareholders and that a distribution of surplus cash is implemented as soon as practicable.
LIT will make a further announcement on this matter in due course.
LIT plc
01624 690 900
Alex Paiusco, Chief Executive
Mike Haxby, Chief Financial and Risk Officer
KBC Peel Hunt Ltd, Nominated Adviser and Broker
020 7418 8900
Guy Wiehahn or Oliver Stratton