Soul Patts slams Perpetual proposal

Key shareholder opposes bid to unwind Brickworks cross-ownership.

Washington H. Soul Pattinson and Company (SOL), the largest shareholder in Brickworks (BKW), intends to vote against a $2.2 billion proposal to unwind Brickworks' cross-ownership structure with Soul Pattinson.

In a statement to the Australian Securities Exchange, Soul Pattinson said if it is permitted to vote at the Brickworks shareholder meeting on November 25 to consider the proposal from Perpetual Investment Management and M.H. Carnegie & Co, it will oppose the proposal.

Soul Pattinson said the proposals are incomplete, have the potential for significant unaccounted tax liabilities, and do not provide all necessary information to shareholders to make a decision.

The key shareholder recommended that other shareholders also vote against the proposal.

This week Brickworks also recommended shareholders vote against the bid, saying the information given by Perpetual and Carnegie was in some cases "misleading, incomplete or inaccurate".

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