Aussie recycler rejects Transpacific offer

Archiv – The board of Sydney-based waste management company DoloMatrix has rejected a takeover offer from fellow Australian waste and recycling giant Transpacific which valued the company at A$ 41 million (US$ 39.3 million).Australia | The board of Sydney-based waste management company DoloMatrix has rejected a takeover offer from fellow Australian waste and recycling giant Transpacific which valued the company at A$ 41 million (US$ 39.3 million).
The latter offered 30 cents a share for DoloMatrix, which has a chemical processing and recycling division called Chemsal and a hazardous waste division which operates under the BCD banner. The firm also owns a technology known as Dolocrete whereby a substance is added to waste to make it set hard, thereby enabling it to be treated safely and cheaply.
According to DoloMatrix’s Chairman Iain Thompson, Transpacific’€™s offer grossly undervalues the company. ’Transpacific must believe the company is worth considerably more, having participated in a placement at 55 cents cash per share in September 2007,’€™ he says.
Transpacific, which made 47 separate acquisitions in 2007 and followed up with a further 12 in the first half of the 2007-08 financial year, says it will not increase its offer.