Panel Publishes Reasons for Making Declaration and Orders in Pinnacle No.11 Proceedings [03/12/2001] The Takeovers Panel

Monday, 3 December 2001

PANEL PUBLISHES REASONS FOR MAKING DECLARATION AND ORDERS IN PINNACLE NO.11 PROCEEDINGS

The Panel advises that the Pinnacle No.11 Panel has today published the reasons for its decision to make a declaration of unacceptable circumstances and final orders in relation to Vanteck (VRB) Technology Corp's (Vanteck) takeover bid for Pinnacle VRB Ltd (Pinnacle).

The review Panel's decision (made on 16 October 2001) confirmed the views of the Pinnacle No.10 Panel in its decision of 5 October 2001 relating to acceptances made by Credit Suisse First Boston Australia Equities Private Ltd (CSFB) on 22 and 23 September 2001 on behalf of Ronay Investments Pty Ltd (Ronay) and some other Pinnacle shareholders.

The Panel accepted that CSFB erroneously and mistakenly authorised acceptance of Vanteck's bid on behalf of Ronay and the other Pinnacle shareholders for approximately 1.6 million shares. Vanteck refused to consent to a reversal of the transaction which consent was necessary under the SCH Business Rules before the acceptances could be reversed. The Panel considered that the facts surrounding the acceptances, and the current circumstances of Vanteck's bid for Pinnacle, meant that the acceptances should be reversed.

The review Panel in this matter is constituted by Mr Simon McKeon (sitting President), Mr Kevin McCann (sitting Deputy President) and Mr Chris Photakis.

The Panel's reasons for decision are available on the Panel's website http://www.takeovers.gov.au/Content/Decisions/decisions.asp

Nigel Morris
Director, Takeovers Panel
Level 47 Nauru House, 80 Collins Street, Melbourne VIC 3000
Ph: +61 3 9655 3501
nigel.morris@takeovers.gov.au