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MYECO GROUP LTD — M&A Activity 2009
Mar 22, 2009
65304_rns_2009-03-22_48e63030-0c88-4839-b9e7-e5733693389e.pdf
M&A Activity
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ACN 064 755 237
TO: COMPANY ANNOUNCEMENTS OFFICE AUSTRALIAN SECURITIES EXCHANGE
DATE: 23 March 2009
COMPLETION OF MERGER WITH BIOGRADE LIMITED
To complete the merger between Cardia and Biograde Limited, Holding Statements will be dispatched today to all Biograde members on the basis of 2 Cardia Shares and 2 Cardia options for each ordinary share held in Biograde.
The attached Chairman’s letter will also be sent to all Cardia shareholders.
It is anticipated that the ASX will grant quotation of the new shares and options on Wednesday 25[th] March 2009.
JOHN WILSON Company Secretary
CARDIA TECHNOLOGIES LTD
REGISTERED OFFICE Suite 510 Level 5 Pacific Tower 737-741 Burwood Road Hawthorn Victoria 3122 Australia Telephone +61 3 9813 3228 Facsimile +61 3 9813 2668 Email: [email protected]
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20 March 2009
Dear Shareholder
It is with pleasure that I can confirm the 100% acquisition of Biograde Limited by Cardia Technologies Limited, has been approved by the shareholders of both companies and by the Supreme Court of Victoria.
I now welcome all our new Cardia shareholders resulting from this transaction and thank our existing shareholders for their support.
With the global financial crisis, world capital markets in general are experiencing extreme corrections and Cardia is well placed, having selected assets that are positioned in the sustainable, renewable and environmental investment sector.
To this end, the acquisition of Biograde provides Cardia with the opportunity to participate in what the Board believes to be a global shift away from finite fossil fuel (oil) resources being used in the manufacture of plastics, to the increased use of more renewable and sustainable products.
This shift is further endorsed by several Governments globally enacting legislation to ban or tax the use of products such as plastic bags. Large packaging companies are also now planning for products with a lower carbon foot print by embracing policies of renewable resources and sustainability as part of their offering into the future.
These global changes enable Biograde to make an alternative offering of biodegradable and hybrid plastic products, with the company well positioned by its patented and internationally accredited product portfolio, and manufacturing, distribution and marketing infrastructure in place to service this global market opportunity.
It is expected that in May 2009, the South Australian Government will take the lead in Australia by introducing legislation that will ban the use of certain plastic bags in that State. Biograde has made inroads here and is expecting to win further business as a result.
The plastic packaging market is one of the biggest in the world, estimated to be worth US $180 billion p.a. The market shift to biodegradable and hybrids is just in its infancy and is expected to grow exponentially.
In terms of management, Biograde’s Managing Director is Dr Frank Glatz, an experienced, well connected and respected professional in the packaging and plastics industry. Dr Glatz joined Biograde in April 2008, and has engineered the Company’s marketing and product strategy, as well as setting standards and procedures in the manufacturing and distribution of company products.
Dr John Scheirs has also joined the Cardia Board. He has been a non-executive director of Biograde since May 2004 and as a world renowned polymer expert, his contribution to date has been invaluable to that company.
The Board believes that Biograde offers shareholders the opportunity to participate in a growing and exciting new market at the commercialisation stage of the Company’s business cycle.
Once again thank you for your support.
Yours Sincerely,
Pat Volpe Chairman
CARDIA TECHNOLOGIES LTD
REGISTERED OFFICE Suite 510 Level 5 Pacific Tower 737-741 Burwood Road Hawthorn Victoria 3122 Australia Telephone +61 3 9813 3228 Facsimile +61 3 9813 2668 Email: [email protected]