GREAT WESTERN URGED TO ACCEPT $6 BILLION OFFER.Byline: Joseph A. Giannone Bloomberg News H.F. Ahmanson & Co. began asking Great Western Financial Corp. shareholders on Monday to encourage their board to accept its $6 billion hostile takeover Hostile Takeover A takeover attempt that is strongly resisted by the target firm. Notes: Hostile takeovers are usually bad news, as the employee moral of the target firm can quickly turn to animosity against the acquiring firm. offer. Irwindale-based Ahmanson said it's mailing forms that ask Great Western shareholders to prohibit their management from offering other banks incentives to bid. It also asks shareholders to demand that the annual meeting, postponed indefinitely by Great Western, be scheduled for as soon as April 22. ``Ahmanson has decided now to put the issues of maximization of stockholder value directly before Great Western stockholders,'' Ahmanson said in a statement. Ahmanson, the largest thrift in the U.S., made its hostile offer Feb. 17 to acquire Great Western, America's No. 2 thrift. The transaction would create a thrift with $93 billion in assets and 600 branches in California and Florida. Chatsworth-based Great Western said shareholders of record on March 13 will be eligible to vote on Ahmanson's solicitation. Meanwhile, Great Western spokesman Ian Campbell Ian Campbell is a name shared by several people:
revoke v. to annul or cancel an act, particularly a statement, document, or promise, as if it no longer existed. the Ahmanson proposals. Company officials didn't know when the voting would be completed. The initial step in the consent solicitation Consent Solicitation A solicitation by one party to the stakeholders of a particular security for the consent of a material change. Notes: Should the majority of stakeholders provide valid consent prior to the consent expiry date, the issuer may then follow through with process lets shareholders give nonbinding instructions to management outside of an annual meeting. In another proposal, shareholders would change bank bylaws The rules and regulations enacted by an association or a corporation to provide a framework for its operation and management. Bylaws may specify the qualifications, rights, and liabilities of membership, and the powers, duties, and grounds for the dissolution of an to limit the size of fees the board may offer to prospective rival bidders. Great Western, which has not yet responded to Ahmanson, took steps to buy time to consider the offer, fight the offer or find another suitor SUITOR. One who is a party to a suit or action in court. One who is a party to an action. In its ancient sense, suitor meant one Who was bound to attend the county court, also, one who formed part of the secta. (q.v.) . It sued Ahmanson as well as postponing the annual meeting. |
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