Mariner Corporation has accused the board of Austock Group of blocking its takeover bid through the sale of its property funds management business to a third party.
Mariner chief executive Darren Olney-Fraser told InvestorDaily it was the company's belief Austock's property transaction with the listed funds management firm, Folkestone, was a move to "block the takeover".
"A company cannot sell its principal asset during a takeover bid," Olney-Fraser said.
He said Mariner would now call in the Takeovers Panel to act as "referee" and address Austock's "dirty" tactics.
Mariner was expected to lodge its application with the panel in the coming days, he said.
InvestorDaily understands a resolution of this matter is likely to take a number of weeks.
Austock chief executive Bill Bessemer was unavailable for comment by InvestorDaily's deadline.
Yesterday, the Mariner board released a statement to the Australian Securities Exchange stating it would make an application to the Takeovers Panel to have Austock's conduct declared an "unacceptable circumstance" under the Corporations Act.
"While the Takeovers Panel is reviewing these matters, Mariner will not be bidding on-market for any Austock shares," it said.
Mariner's decision to involve the Takeovers Panel follows Austock's market announcement on 9 July that it had sold Austock Property to Folkestone.
In late June, Mariner advised the board of Austock that it intended to make an offer to Austock shareholders to acquire their shares.
Initially the listed corporate investment firm said it would offer 10.5 cents per share, subject to 50 per cent acceptance of the offer. It later bumped up its offer to 11 cents per share.
