BARBADOS, Bridgetown (CMC):

Although Neal & Massy has decided not to go ahead with its merger with Bar-bados Shipping and Trading (BS&T), an analyst here says the company has not given up on getting a firmer grasp on its current business partner.

Interim president of the Bar-bados Association of Corporate shareholders, Douglas Skeete, said the Trinidadian company could be preparing for another takeover bid - similar to the BDS$7 (US$3.50) per share offer put on the table by its competitor, ANSA McAL.

"I would be surprised if they've not started looking at their other options.

"One of their options would be to launch a similar bid. The other option would be to do nothing and I doubt very much that they will opt to do nothing," he told the Caribbean Media Corporation (CMC).

Skeete explained that despite Neal & Massy a few weeks ago recommitting to the merger plan, the court action which blocked a meeting to get approval from the BS&T shareholders has forced the Trinidad company to find another way to achieve what it wants.

"The process through the courts would probably have taken a long period of time and I've got an indication that the information they've been asked to share is information they're reluctant to share.

"Additional to that, ANSA McAL's offer will expire on the 21st of this month so they really don't have a lot of time. Unless they can see some end to the litigation reasonably soon, they have to have sufficient time to respond to the offer from ANSA McAL," Skeete said.

Neal & Massy and BS&T informed their shareholders in a notice published in newspapers that they had abandoned the merger plan.

The two said the decision was mutual and took effect on August 3.

Meanwhile, ANSA McAl and Barbadian consortium have both indicated that they were still interested in acquiring BS&T shares.