18 September 2008
JOINT ASX / MEDIA RELEASE
MACMAHON OFFER REMAINS CONDITIONAL ? LIKELY TO LAPSE
Ausdrill notes that Macmahon Holdings Limited (Macmahon) has today advised that its Takeover Offer for Ausdrill has not reached the necessary level of acceptances for Macmahon to declare the Offer free of conditions, meaning the Offer is now likely to lapse.
Macmahon has advised that the Conditional Offer will not be extended beyond September 29 unless the condition requiring acceptances in excess of 50.1% is fulfilled. Currently, only 1.49% of shareholders have formally accepted the offer.1
Ausdrill Chairman Terry O?Connor agreed with Macmahon that it was unlikely that Macmahon would achieve the 50.1% acceptances required for the Offer to succeed.
?The overwhelming majority of shareholders have supported Ausdrill, and its future as an independent company, and we now look forward to getting on with the job,? Mr O?Connor said.
?We would like to thank shareholders for their ongoing support, and recommend that they continue to reject Macmahon?s Offer in its final week,? Mr O?Connor said.
Mr O?Connor said Ausdrill also noted that its share price has been impacted by the fact that hedge funds appeared to be selling, on the basis that the Macmahon Offer is likely to lapse. However, the Board expects this impact to only be short term, and believes the fundamental outlook for Ausdrill remains very positive.
?We are in our best ever operational and financial shape, and are well positioned to deliver value for our shareholders,? Mr O?Connor said.
For further information visit: www.ausdrill.com.au
Media enquiries:
Purple Communications
Caroline de Mori - 0418 919 064
Ryan McKinlay ? 0408 347 282
1 Macmahon has also received acceptance instructions under its Acceptance Facility for 10.95%.
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