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Did the Financial Services Commission Perform Due Diligence on Banks Holdings Takeover Bid Deal?

Submitted by Atrue Freeman Mr. Randy Graham, does the Financial Services Commission have the authority to examine a transaction that prompts a takeover bid, given the influence of that transaction on the takeover process? […] For example, does the Commission conduct sufficient investigation to confirm that no private side deals are made and that the…

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Submitted by Atrue Freeman
Sir Frank Alleyne, Chairman,FSC
Sir Frank Alleyne, Chairman,FSC

Mr. Randy Graham, does the Financial Services Commission have the authority to examine a transaction that prompts a takeover bid, given the influence of that transaction on the takeover process?

[…]

For example, does the Commission conduct sufficient investigation to confirm that no private side deals are made and that the published price for such a transaction is in fact the full price agreed? And, if it has such authority, has the Commission examined the transaction that allowed for the takeover bid for Banks Holdings? I believe that your response through the press will allay some of the concerns that small Banks Holdings shareholders may have.

57 responses to “Did the Financial Services Commission Perform Due Diligence on Banks Holdings Takeover Bid Deal?”

  1. de Ingrunt Word Avatar
    de Ingrunt Word

    @ Justin Robinson October 21, 2015 at 10:18 AM #… We seem to be asking the same questions.—————

    Ah ha maybe we are here on BU but with the gravitas of that PhD, YOUR questions or statements carry a ton of weight…ours here – apart from the Jeffs, Walters, Caswells et al – are a mere few pounds.

    And of course as you know quite well there are many ways to get out from behind the looking glass of that UWI or NIS chairman positions and their related concerns and still publicly pose the deep analytics that can enlighten debate.

    Just saying!

  2. Atrue Freeman Avatar
    Atrue Freeman

    http://www.guardian.co.tt/business/2015-10-22/ansa-mcal-betters-ambev-bid-bhl
    http://www.trinidadexpress.com/20151013/features/dr-brewery-bids-to-take-over-banks-beer

  3. Atrue Freeman Avatar
    Atrue Freeman

    BHL tells shareholders to hold on
    GERALYN EDWARD, geralynedward@nationnews.com
    Added 22 October 2015
    http://www.nationnews.com/nationnews/news/73616/bhl-tells-shareholders-hold

  4. Atrue Freeman Avatar
    Atrue Freeman

    http://ansamcal.com/wp-content/uploads/2015/10/Offer-and-Take-Over-Bid-Circular.pdf

  5. Atrue Freeman Avatar
    Atrue Freeman

    http://www.nationnews.com/nationnews/news/73608/no

  6. NorthernObserver Avatar
    NorthernObserver

    I note (relevant to the thread heading) that BHL Directors have issued Circular #2, which includes a letter from the FTC to BHL.
    http://thebhlgroup.com/Corporate/BHL-Directors-Circular-No-2.pdf

    I had difficulty understanding the specific intent of the FTC requirement, but note the interpretation by the BHL Directors is

    “It is possible therefore that the FTC may not allow the successful bidder to grow Barbados market share through the combination of the Banks brands with those of their own. Exports from Barbados would however not likely present the same concern.”

    Said interpretation seems to refer exclusively to the “beer market”? For they use the term Banks brands, not BHL brands. Yet, I would guess PHD may present a similar qualification in milk?

    My personal interpretation is that any company which has a market share in excess of 40%, cannot change ownership (“merge”) without the permission of the FTC?

    Do others agree with this? Thanks

  7. NorthernObserver Avatar
    NorthernObserver

    And secondly, doesn’t item 3) listed in the circular amount to a “poison pill”?

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