Australian freight group Toll Holdings has extended its A$4.6 billion hostile bid for domesticrival Patrick Corporation to December 2, taking it beyond an expected mid-November statement by the
country’s competition watchdog. Toll aims to incorporate Patrick, which is fighting the bid, toform one of the world’s largest logistics groups.In a statement, Toll reiterated the advantages of its bid for Patrick shareholders andcriticised Patrick’s rejection of the offer. Managing director Paul Little said: “The deficienciesin the target’s (Patrick’s) statement reinforced the attractiveness of Toll’s takeover bid andhighlighted that the Patrick board has no real alternative that will deliver to Patrickshareholders the value of Toll’s bid.”
He claimed that Patrick had effectively endorsed the industrial logic of Toll’s bid by outliningintentions to expand in freight forwarding and express freight, but it had provided no details ofhow it will execute a strategy to emulate Toll’s business model.
The takeover battle at the heart of the Australian logistics industry recently escalated intopersonal criticism between the top executives. The bid is mostly based on Toll shares.
