I refer to your letter to Emeco Holdings Ltd (Company) dated 13 August 2009 in which you request the Company to respond to five questions. The Company's response to each of ASX's questions is as follows:
The Company became aware of the Indicative Proposal at approximately 6.30pm Australian Eastern Standard Time on Monday 10 August 2009.
The Company believes the proposal is arguably material to the Company pursuant to listing rule 3.1. However, as noted in our 13 August announcement the Indicative Proposal was unsolicited, indicative, non-binding, and the Company had not engaged with the relevant investment firm. Accordingly, the Company did not have a basis to determine any kind of likelihood that the Indicative Proposal would or would not proceed in the form provided to the Company. I also note that the Company's share price had risen materially in the recent past prior to receipt of the Indicative Proposal, possibly as a result of favourable reports from analysts and brokers. The Company therefore did not have a reason to believe that recent price movements were caused by the Indicative Proposal.
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