A bid by the billionaire businessman to raise his company’s stake in concrete giant Boral appears to have had unforeseen repercussions, such as a heap of unwanted debt.
As Kerry Stokes commits up to $10 million of his private wealth defending the honour of Ben Roberts-Smith and other SAS soldiers, the billionaire is simultaneously in danger of being swamped in unwanted debt by becoming Australia’s biggest concrete mogul.
When Stokes’ 57.5% owned conglomerate Seven Group Holdings launched a $6.50 cash takeover bid for Boral in May, its stated intention was only to lift its stake in the building products giant from 23% to 30%.
The takeover bid then went unconditional on July 1, when it was lifted to $7.30 with the extra incentive of a 10c lift to $7.40 if acceptances exceeded 34.5% by July 7, which they did.
Learn more about the debt worries facing Kerry Stokes…
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