Lochard Energy board defends Parkmead offer

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THE board of Tom Cross’s latest target, Lochard Energy, yesterday hit back at claims his offer undervalues the company.

A group of investors owning just over 20 per cent of Lochard issued a statement on Thursday saying the £14.5 million all-share bid by Cross’s Aberdeen-based Parkmead undervalued the company.

In a response yesterday, Lochard chairman Clive Carver said the Parkmead offer was “fair, reasonable and in the best interests of Lochard’s shareholders”.

He said an alternative of accumulating and returning cash to shareholders “may take many years to complete and has significant operational and financial risks.” The offer has support from investors owning around 41.4 per cent of the shares.