By James Wells

MELBOURNE: Following the appointment of receivers and administrators to Betta Stores Limited and its subsidiaries yesterday, Bell IXL has officially withdrawn its share purchase offer.

In a statement issued to the Newcastle Stock Exchange today, Bell IXL managing director, Massimo Cellante, said that it has withdrawn the share purchase offer which sought to acquire up to 20 per cent of the company.

“Betta has publicly announced that receivers and managers, together with administrators have been appointed in respect of Betta and a number of its subsidiary companies,” Cellante said in his statement.

“In view of this material and significant change in the affairs of Betta, the company has decided to take the following action in accordance with the conditions of the share purchase offer.

“The share purchase offer is withdrawn. Any contracts arising from valid acceptances of the offer are terminated. The company has insufficient information to assess the impact of these developments on the value of the investment held by the company in Betta.

“As at 30 June 2006 the net assets of the company were $2,480,404 and the carrying value of the investment in Betta was $182,063.

“In a worst case scenario where the investment in Betta was to be written off in full then the net asset value per ordinary share as at 30 June 2006 would fall from 21.42 cents per share to 19.85 cents per share.”