http://au.biz.yahoo.com/091202/2/2a3k0.htmlBlack Tree to woo Great Southern growers
Wednesday December 2, 2009, 6:29 pm
One of the parties wanting to take over the management of the forestry assets of failed agricultural projects manager Great Southern has urged investor-growers to reject other proposals for the group and to meet to consider an alternative.
In a letter to Great Southern investor-growers on Wednesday, Black Tree Pty Ltd said it needed five per cent of grower proxies to call a growers' meeting to consider a proposal from Black Tree.
Black Tree claimed that the receivers and managers of Great Southern, McGrathNicol, were unwilling to call a growers' meeting on Black Tree's behalf.
"Therefore, without the support of you, the growers, ASIC (Australian Securities and Investments Commission) and others, we are not in a position to present a formal rival proposition for your consideration prior to the already called meeting of growers on December 23," Black Tree executive chairman Tony Jack said in the letter.
Great Southern investor-growers are scheduled to gather on December 10 to consider a proposal from Pulpwood Plantations Pty Ltd (PPPL) on the future management of the Great Southern group's forestry managed investment schemes.
Investor-growers are also scheduled to meet on December 23 to consider a proposal from woodchipper Gunns Ltd, which has been recommended by McGrathNicol.
Mr Jack said Black Tree's "grower-friendly" proposal had been abandoned in favour of a proposal from Gunns, which Black Tree said was significantly skewed in favour of Great Southern's bankers, who are the secured creditors, at the expense of growers.
"The only way growers can be assured of being able to consider Black Tree's proposal is to defeat both PPPL and Gunns at their meetings," Mr Jack said in his letter.
Black Tree said a key part of its proposal was to pool the forestry schemes to enable the management of the projects as a single forestry estate.
Black Tree said that under its proposal growers would receive income over the next 10 years without the need to make any further contributions.
GTP Price at posting:
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