This should hold the price down in the short term.
RAK
17/05/2007
RELINT
REL: 0845 HRS Rakon Limited
RELINT: RAK: Rakon Limited: Sale of shares by Director
Rakon Limited (NZX: RAK) announced that Peter Maire, director and shareholder
of the company today sought approval to sell approximately 1.6 million of the
16.5 million shares he holds in the company. Mr Maire plans to use the
proceeds to fund other investments he is involved with.
Mr Maire and the other incumbent shareholders entered an arrangement at the
time of the IPO in May 2006 whereby they agreed not to sell any shares in the
company until 30 days after the 2007 Full Year Earnings Release (which will
be 14 June 2007). That agreement was between those shareholders, the Company
and the Lead Manager of the IPO UBS New Zealand Limited. The agreement
allows for a waiver of the restrictions on selling.
The Board of Rakon and UBS after meeting today have concluded that given the
close proximity of the request to both the earnings announcement and end of
the restriction period, combined with the strong demand for Rakon's shares in
the market, that it is appropriate to waive this restriction. The
restriction will be lifted as from 8 am on Monday 21 May 2007.
Bryan Mogridge, Chairman of the Board confirmed that neither Mr Maire nor any
of the other directors intend to sell any further shares in the foreseeable
future.
Further information contact Bryan Mogridge on 021 931 355 or Brent Robinson
09 573 5554.
End CA:00147765 For:RAK Type:RELINT Time:2007-05-17:08:45:32