BHL responds to Ansa McAl injunction

One day after Chief Justice Sir Marston Gibson granted a temporary injunction blocking the sale of Banks Holdings Ltd, company officials have been making clear their feelings on the matter.

Today they met with members of the media, and from all indications the move is definitely not sitting well with BHL.

With the temporary injunction, the Trinidad conglomerate Ansa McAl now has until November 11, to raise objections to the sale of the local beverage company.

BHL Attorney Barry Gale Queen’s Counsel said they were surprised by the move, particularly after the directors rejected calls by ANSA MCal for the board to challenge the contentious agreement in a meeting on October 27.

Gale cautioned the move will have implications for the company and shareholders.

BHL’s attorney Barry Gale QC says the injunction will impact the company and shareholders.

“The agreement in question requires that any dispute should be resolved through arbitration. And not just arbitration in Barbados but arbitration in Miami, applying New York law.

“So the goal we have in those circumstances to commence arbitration in a foreign jurisdiction, which could be very expensive, protracted to the company and certainly not in the interest of shareholders, particularly in the environment of a competing ongoing bidding process, because the effect of that would be, as we’ve now seen from the court order, to bring everything to a stop, resulting that shareholders who are anxiously looking forward perhaps to a premium, a substantial premium on their shares, may not reap the benefits of the offers that are presently on the table,” Gale said.

A statement from Ansa McAl issued last evening said the injunction means that until November 11, no one will be allowed to solicit or negotiate the purchase or sale of BHL shares.

It further explained that with the court order, Ansa McAl (Barbados) Ltd is now free to contest the 2010 agreement made between BHL and SLU Beverages Ltd, “in the interest of all shareholders”.

4 Responses to BHL responds to Ansa McAl injunction

  1. carson c cadogan November 4, 2015 at 6:24 pm

    Well BHL the shoe is on the other foot, lets see how you like.

  2. Alwin Ellis
    Alwin Ellis November 4, 2015 at 7:10 pm

    BHL board would be in jail if them was in America

  3. Alex Alleyne November 4, 2015 at 8:35 pm

    I am at a lost here after reading the following “the agreement in question requires that any dispute should be resolved through arbitration , and not just arbitration in BARBADOS but arbitration in MIAMI applying NEW YORK law” .
    Most things in the Caribbean went to the PRIVI COUNCIL in LONDON , then BDS chop the rope and so the CCJ was set up.
    Is this Company a USA owned ?.

  4. Ralph Talma November 5, 2015 at 11:27 am

    1. BHL should not be sold en toto as currently outlined. It would be in the financial interest of B’dos for the Government to secure 51% of this company, if it has to be sold and a take-over is to be prevented. Please learn from the example of the UK Government who now looses millions of pounds annually, because they allowed many similar assets to be sold to foreign companies in the past; whereas France and Germany try very hard to prevent them.
    2. You have made an excellent point Mr Alleyne.


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