Property investment group Waltus will continue with its plans to merge 27 of its syndicates into one company, following the refusal of New Zealand’s High Court to issue a stay against the process.
A group of dissident Waltus investors headed by financial adviser Murray Weatherston and accountant Brian Moyle had sought to halt the merger while an appeal was pending.
However, the judge, Master Thomson, ruled the stay would disadvantage the majority of Waltus shareholders and would cause commercial uncertainty.
He also said the merger had almost been completed and it would be wrong in principle to order a stay.
The dissident group, representing about 3 per cent of Waltus shareholders, have lodged an appeal against the merger that is set down for hearing on December 4.
Moyle says he is optimistic an appeal would back up the dissident group’s demands.
“I’m confident we have strong grounds for appeal,” Moyle says.
“Three senior judges may have a better understanding of the issues.”
Waltus financial controller Hamish Plimmer says it is disappointing the objectors are continuing in their “desperate battle” to halt the merger.
“Only three per cent of shareholders are objecting and that isn’t enough of a mandate to stop the merger,” Plimmer says.
