<html><body>
The Mark Bouris-chaired Yellow Brick Road has received a takeover bid from veteran corporate raider Sir Ron Brierley's Mercantile Investment Company.
Mercantile advised it was offering to buy Yellow Brick Road for 9c a share in cash - a 3.2 per cent discount to where the stock traded before the bid was made.
Bouris said the bid was “opportunistic.”
He advised shareholders to take no action.
Mercantile owns almost 20 per cent of the poorly performing YBR.
"YBR shareholders who accept this offer will no longer be exposed to the risks and uncertainties of remaining a YBR shareholder," the Mercantile statement said.
"Mercantile OFM and its associates are disappointed with the financial performance of YBR. Mercantile OFM and its associates first acquired a relevant interest in YBR in November 2016, paying $0.145 per YBR share. Since then, the YBR share price has declined by 35.9 per cent," the statement said.
After Mercantile, which holds 19.9 per cent of YBR, the next largest shareholders are Bouris' Golden Wealth Holdings, which has an 18 per cent stake, and the Nine Entertainment Group, which holds 17 per cent.
Yellow Brick Road Holdings Limited says it is on track to become the leading non-bank financial services company in Australia by 2020.
Mr Bouris said the bid was "opportunistic in its nature, timing, pricing."
</body></html>

j.ballantyne1990-6AQqhLzZaK

Takeover bid by Brierley for Yellow Brick Road

<html><body>
Yellow Brick Road Holdings has commenced legal proceedings in the Supreme Court equity division against Tim Brown, its former CEO of lending.
The mortgage broker announced in November he was stepping down from his position in the company effective 31 December 2016.
Executive chairman Mark Bouris said the role would not be replaced.
At the time Bouris thanked Tim Brown for his contribution to the company over two years "and wished him well for the future."
Brown had joined YBR as a result of the 2014 acquisition of Vow Financial. Brown was CEO of Vow Financial for five years.
The case gets underway tomorrow. The Trustee for the Brown Superannuation Fund is also a respondent.
A YBR spokesperson advised there would be no comment on the injunctive proceedings.
</body></html>

Ybr

Editor's Picks

Have something to contribute?

The latest real estate & off the plan properties & news, delivered to your inbox.

Developments

New apartments

New townhouses

News

The latest real estate & off the plan properties & news, delivered to your inbox.

Ybr

Editor's Picks

Receive the latest news stories to your inbox

Have something to contribute?

The latest real estate & off the plan properties & news, delivered to your inbox.

Developments

New apartments

New townhouses

News

The latest real estate & off the plan properties & news, delivered to your inbox.