Monday July 23,2012 : TWO WAY MERGER DEAL UNRAVELLING? (Update)
Priority One accused of "material breaches of the representations and warranties"
The proposed merger between Australian firms Two Way and Priority One was showing signs of unravelling Monday, when Two Way issued a statement advising that it has given ‘notice’ to Priority One regarding a ‘number of material breaches of the representations and warranties’ made during the merger implementation agreement.
Two Way did not disclose what these breaches specifically entailed but declared that they were discovered as part of due diligence.
“If the circumstances resulting in the material breaches continue to exist for five business days from the date of the notice, Two Way intends to terminate the merger implementation agreement and not to proceed with the proposed transaction outlined in the Australian Stock Exchange announcements,” read the statement from Two Way.