Supreme Court green-lights Colorpak-Graphic merger

Graphic Packaging's acquisition of Colorpak shares is expected to be finalised on 29 April now the Supreme Court of Victoria has given it the go-ahead.

In last week’s scheme meeting, Colorpak shareholders voted almost unanimously in favour of the deal with 99.87 per cent of the vote.

Only 75 per cent of votes had been required in order to gain the Supreme Court’s approval.

Court orders are expected to be lodged with the Australian Securities and Investments Commission tomorrow and Colorpak shares will cease trade after this date.

Colorpak is expected to grow stronger as a result of the alliance, working with paper mills to streamline supply.

Colorpak shareholders who register by 22 April will received a special dividend of 57 cents per share, expected to be paid out on 29 April.