In early February, Cavalier Corporation advised that its 50%-owned associate company, Cavalier Wool Holdings Limited (CWH), had lodged an application with the Commerce Commission for authorisation to effect a transaction which will involve CWH acquiring control of the wool scouring business of New Zealand Wool Services International Limited (WSI) in order to bring about further rationalisation of the New Zealand wool scouring industry.
This was followed by the following updates:
- in June, when Cavalier Corporation advised that CWH had received a positive determination from the Commerce Commission regarding its application and that this paved the way for CWH to proceed to negotiate its earlier offer to WSI to purchase the business of WSI with increased confidence and more certainty;
- in July, when Cavalier Corporation advised that the High Court of New Zealand, in response to an appeal against the determination by the Commerce Commission, had granted a stay of the Commerce Commission determination pending the hearing of the appeal.
Cavalier Corporation advises that the appeal was heard on 22 August and that the High Court has dismissed the appeal against the determination by the Commerce Commission.
The Directors of Cavalier Corporation will continue to keep shareholders updated on significant developments as they unfold.
For and on behalf of the Board
24 November 2011
For more information regarding this announcement, please contact Wayne Chung on 021 772 277.