Intelligent Investor

Vote on Veda takeover

Make sure you vote on the Veda scheme of arrangement before the meeting on 8 February
By · 27 Jan 2016
By ·
27 Jan 2016 · 2 min read
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Recommendation

Veda Group Limited - VED
Buy
below 1.60
Hold
up to 3.00
Sell
above 3.00
Buy Hold Sell Meter
HOLD at $2.80
Current price
$2.82 at 16:30 (29 February 2016)

Price at review
$2.80 at (27 January 2016)

Max Portfolio Weighting
5%

Business Risk
Medium-Low

Share Price Risk
Medium
All Prices are in AUD ($)

Shareholders of Veda Group are due to vote on the company's scheme of arrangement with Equifax on 8 February 2016. You should have received your documentation so, if you haven't, call the scheme information line on 1300 180 103.

If you don't expect to attend the meeting – and it's certainly not necessary – you will need to send back your proxy form so it arrives by 5 February. Or you can vote online up until 10.30am on 6 February if you're able. As with all schemes of arrangement, a majority of shareholders, as well as at least 75% of shares, need to vote in favour for it to be approved.

At this stage, the scheme looks very likely to proceed although you're always welcome to vote against it. It will be a shame to lose a company of Veda's calibre from the ASX and this one shows that some private equity floats are – just occasionally – very successful.

The stock is barely changed from Veda takeover progresses on 17 Dec 15 (Hold – $2.79) and remains a HOLD.

Disclosure: The author, James Greenhalgh, owns shares in Veda Group.

 

IMPORTANT: Intelligent Investor is published by InvestSMART Financial Services Pty Limited AFSL 226435 (Licensee). Information is general financial product advice. You should consider your own personal objectives, financial situation and needs before making any investment decision and review the Product Disclosure Statement. InvestSMART Funds Management Limited (RE) is the responsible entity of various managed investment schemes and is a related party of the Licensee. The RE may own, buy or sell the shares suggested in this article simultaneous with, or following the release of this article. Any such transaction could affect the price of the share. All indications of performance returns are historical and cannot be relied upon as an indicator for future performance.
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