RAK
31/07/2013 16:01
GENERAL
REL: 1601 HRS Rakon Limited
GENERAL: RAK: Rakon Announcement On Compliance With Takeovers Code
0.52% SHARE SALE BY MANAGING DIRECTOR, BRENT ROBINSON AND
EXECUTIVE DIRECTOR, DARREN ROBINSON TO BE UNDERTAKEN FOR COMPLIANCE WITH
TAKEOVERS CODE
On 5 July Rakon had announced its plan to establish a strategic partnership
with Zhejiang East Crystal Electronic Co. Ltd (ECEC). On 9, 11 and 16 July
2013 Brent Robinson (Managing Director) and Darren Robinson (Executive
Director) each purchased 493,138 shares in the Company through NZX for
consideration of $81,539 for each parcel. These purchases (the July
Purchases), which represented, in aggregate, 0.52% of the Company's ordinary
shares, were disclosed to the market in the prescribed forms on 15 and 23
July 2013.
The July Purchases reflected the confidence Brent Robinson and Darren
Robinson continue to have in the Company's current position and prospects,
including in relation to the establishment of its strategic partnership with
ECEC and were a signal to investors of their continued commitment to the
Company.
Brent and Darren Robinson's father, Mr Warren Robinson (the founder of Rakon
and one of its non-executive directors) holds 13.05% of the Company's
ordinary shares jointly with Trusts Limited. These shares are held on trust
for the Ahuareka Trust, a trust associated with the Robinson Family. This
shareholding, and those of Brent and Darren Robinson (except those acquired
under the July Purchases), have been held by them since the company was
listed in 2006.
As a result of the association between Darren Robinson, Brent Robinson and
Warren Robinson, the July Acquisitions constituted an inadvertent breach of
the Takeovers Code, which, among other things, prohibits parties and their
associates who together hold or control in excess of 20% of voting rights in
a Code Company from increasing their holding or control except in compliance
with the Takeovers Code, i.e., through a takeover offer or through an
acquisition approved by shareholders.
Accordingly, Brent Robinson and Darren Robinson have each given enforceable
undertakings to the Takeovers Panel (i) to sell the shares they each acquired
under the July Purchases within a seven week period; and (ii) not to vote
that the percentage of shares that they each acquired under the July
Purchases prior to such sales being completed.
The sale of the 0.52% of the Company's shares by Brent Robinson and Darren
Robinson is solely as a result of a legal requirement rather than any change
in their views about the Company's position or prospects.
In light of the above, the Board of Rakon intends to consider obtaining a
shareholder approval pursuant to the Takeovers Code which, if given, would
allow the Robinson family interests to purchase further shares in Rakon if
they should choose to do in the future.
For further information:
Bryan Mogridge
Chairman
Rakon Limited
(09) 571 9323
End CA:00239167 For:RAK Type:GENERAL Time:2013-07-31 16:01:41
