New Zealand building and construction products company Fletcher Building [xref:http://www.cfoworld.com.au/articles/tag/ASX:FBU|(ASX:FBU)|CFOWorld]] will commence compulsory acquisition of Australia's Crane Group (ASX:CRG) after securing acceptances totalling 92.7% for its $740 million offer.
Fletcher said it will now not extend its offer, which is scheduled to close at 7pm on March 31, and instead proceed with compulsory acquisition.
Crane shareholders may still accept the offer before the period closing, and will receive payment faster than through the compulsory acquisition process if they do, Fletcher said.
Fletcher Building CEO Jonathan Ling said he was excited about the prospects for a combined entity. “We have confidence in Crane's divisional management and staff and believe we are well placed to take advantage of the complementary nature of our businesses.”
He said the company will have combined revenues of around NZ$10 billion ($7.56 billion) and over 20,000 employees.
FBU shares grew 1.64% in Wednesday's trading to $6.810, while CRG shares rose 0.1% to $10.230.