takeover rumours??, page-4

Australian paint manufacturer, Wattyl, is vulnerable to takeover after a profit warning. Chairman, John Ingram, said that the company was more susceptible to a merger move after a profit downgrade caused its share price to fall. The company's market capitalisation is $A175 million in early May 2005, nearly 50 per cent less than in November 2004. Ingram said that the board would concentrate on improving growth and raising the share price. The slower building market and slower retail sales has caused weaker demand for paint.

Australian - pg 25