Toll takes control of Tranz Rail but falls short of full ownership

<p>Tranz Rail board directors have started clearing their desks after Toll Holding’s decision to make its takeover offer unconditional.</p> <p>Toll said late on Friday (October 10) it had waived the 90% acceptance condition on its NZ$1.10 a share offer after getting 85% of the shares.</p> <p>Shareholders now have until November 7 to take up the extended offer.</p> <p>"While it’s not ideal that we haven’t at this point reached 90% acceptance, we’re confident of achieving our goal and are giving shareholders one last chance to sell," Toll managing director Paul Little said.</p> <p>After Toll’s move, Tranz Rail managing director and chief executive Michael Beard stepped down and board chairman Wayne Walden, Jon Cimino, Leigh Davis and Thomas Rissman all resigned as non-executive directors.</p> <p>Mark Rowsthorn was appointed chairman of the company and another two Toll appointees, David Jackson and Austen Perrin, have assumed the roles of managing director and chief financial officer respectively. </p> <p>Toll will now attempt to garner the remaining 5% of shares it needs to reach 90% and force a compulsory buy-out of the remaining shares.</p> <p>The company said all major institutional shareholders, including Infratil and Tower Asset Management, have sold to Toll.</p> <p>Toll has declined to name two minor shareholding funds that have frustrated its plans with last-minute resistance to the offer.</p> <p>The funds are thought to be holding out for a better price.</p> <br />