Forum Archive Index - October 2002

["Maria Smith" <smith@ps.gen.nz>]

What I find intriguing here is that normally with GPG you wake up in the morning and discover someone has been burning the midnight oil and that they have taken a substantial position in a company. This is how their 20% of RUB was achieved.

 

What is happening now is not the normal way GPG operates. We have Tony Gibbs making statements to the press. He has casually mentioned that discussions have been held with the recievers of CNIP, that CAH is to be involved, and that GPG intends to try to reorganise RUB FFS & CAH into one grouping as far as their forestry assets are concerned. He has also stated that GPG doesnt have a final plan and that developments occur which set the plan. I find it extrodinary that millions of dollars have been spent on acquiring shares to date without a master plan. If CAH is a part of the reorganisation then discussions would shorely have been held already with IP as without their approval no deal could be done.

 

We have been drip fed little titbits of information which is unusual as normally you could expect a no comment response.

 

As a reorganisation into one Fonterra type company would have huge cost savings I would expect this drip feed of information to strengthen the share prices of the companies. This is not happening so I presume that their is information available which I am missing.

 

I still find it intriguing that they would put in a partial takeover for RUB knowing it would fail (smoke screen for something else)

 

Regards

 

Greg

 

 

-----Original Message-----
From: B.Bourke <bbourke@world-net.co.nz>
To: sharechat@sharechat.co.nz <sharechat@sharechat.co.nz>
Date: Monday, October 07, 2002 11:02 PM
Subject: [sharechat] GPG FFS RUB CAH

Greg - prediction.   In some way GPG will get effective control of FFS. (they dont need 51%, they just need the right numbers on the board). They will then 'dispose' of FFS in one of a number of ways. One high possibility is that CITIC will be the buyer. (Not that I think thats a great idea, but I would trust GPG to do a much better deal than FFS could ever do). The other is to break it up into bits. I am sure GPG dont want to be involved in running a forest, but they might stay as part owners if they can get a sleeping partner deal - and they might do this with CITIC. There is no way CAH will be involved - lots of reasons. Fonterra type deal not on (need Govt approval and fonterra record to date not conducive). And IP have very low confidence in CAH so wouldnt put up the money - even if allowed. One thing is for sure - GPG not acting as they are just to fill in the day with something to do. They can see value in something and are working to enable that to be freed up. regards.