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Elma appeals to SC for acquisition of Liberty

07/02/2011 10:19
Elma Holdings will appeal to the Supreme Court after SEC’s decision to prohibit the publication of the Public Offer Document for the acquisition of Liberty Life.

According to the announcement, “after securing a legal opinion on the issue, the Board of Directors believes that this decision was wrong and, therefore, decided to appeal to the Supreme Court for its cancellation”.

According to the SEC, “the Public Offer Document is not in line with the general principles of the public offer and specifically, the provisions of article 5(a) of the Law since it cannot safeguard that the title holders of Liberty Life are protected. During the examination of the Document, the Commission was not satisfied by the fact that the general principle of article 5(a) of the Law is not met since all data that are currently under investigation show that there are questions on whether the Offeror has already acquired the control of Liberty Life Insurance Public Co Ltd”.

The final decision of Elma to submit a public offer for the acquisition of up to 100% of Liberty Life was announced on December 29, 2010.

The proposed consideration is 4 Elma shares for every 3 Liberty shares. This consideration is based not only on the stock market price of the shares of the two companies in the past 25 days but also on the net asset value of each one of the two shares.