Old Mutual plc, South Africa’s largest insurer, has extended the final closing date for its R38-billion offer for Swedish insurer Skandia to December 16 this year, from the previous date of November 21, the company said on Monday.
In a statement, Old Mutual also said more than 90% of the proxy votes it has received from Old Mutual shareholders ahead of its extraordinary general meeting later on Monday have approved all four resolutions associated with the Skandia offer.
These proxy votes excluded abstentions, Old Mutual said. The actual results of shareholder voting at the extraordinary general meeting, which addresses the issuance of new Old Mutual shares as part of the proposed purchase of Skandia, would be announced later on Monday.
Old Mutual also said it will be issuing a supplementary prospectus shortly, incorporating its trading statements for the third quarter of 2005 and confirming the extension of the offer period.
All other terms and conditions related to the offer for Skandia remain unchanged.
Finally, the company said all applications for regulatory approval of its proposed Skandia acquisitions have now been submitted.
Old Mutual’s offer values Skandia at 43,3 Swedish kronor per share (about $5,5-billion).
The deal has run into substantial opposition from the Skandia board and some shareholders. To date, shareholders representing about 15% of the company’s shares in issue have publicly come out against the offer. — I-Net Bridge