24 June 2008
Company Announcements Office
ASX Limited
Exchange Centre
Level 4, 20 Bridge Street
SYDNEY NSW 2000
JOINT ASX / MEDIA STATEMENT
MACMAHON?S OFFER HAS NO TRACTION, SAYS AUSDRILL
Diversified mining and services company Ausdrill Limited (ASX: ASL) said today the underwhelming bid by Macmahon Holdings had no traction with Ausdrill shareholders.
?To date, nearly five weeks after it announced its offer on May 21, Macmahon has convinced less than 1% of Ausdrill shareholders to accept its offer, which has been open for acceptance since June 6,? said Ausdrill chairman Terry O?Connor.
?Macmahon is offering Ausdrill shareholders only 31% ownership of a company to which it would directly contribute over 55% of net tangible assets and over 43% and 47% of the earnings. And that?s even before taking into account any synergies that Ausdrill may provide.?
Approximately 40% of Ausdrill shareholders have indicated to Ausdrill that they will not accept Macmahon?s current offer. This includes Ausdrill Directors, as well as other Ausdrill shareholders who have confirmed in writing that they will not accept the offer.
?As a result, under the current offer we consider it highly unlikely that Macmahon will satisfy its 50.1% minimum acceptance condition, or reach the 80% acceptance level necessary for CGT rollover relief,? Mr O?Connor said.
Shareholders who have any questions concerning Macmahon?s offer can call Ausdrill?s Shareholder Information Line on 1800 104 758 or from outside Australia on +61 2 8268 3691.
About Ausdrill
Ausdrill is a diversified mining and services company providing leading edge services in mining, drill and blast, exploration, procurement and logistics, manufacturing, telecommunications and automotive industries with operations in Australia, the United Kingdom and Africa..
Ausdrill has established a blue chip client list over many years, with whom the company has long term relationships.
For further information, go to www.ausdrill.com.au
or contact
Caroline de Mori
Purple Communications
Tel. 0418 919 064
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