Thumbs up for merger

TATTS shareholders are getting a fair deal in the proposed $11 billion merger with fellow gaming group Tabcorp, according to corporate advisory house Grant Samuel.

Grant Samuel says the proposed merger, to be implemented by a scheme of arrangement, is in the best interests of Tatts shareholders in the absence of a superior proposal.

The scrutineer says the benefits to Tatts shareholders from the merger outstrip their contributions to the combined company.

Tabcorp said in a statement to the stockmarket that it expected to complete the merger on November 1, after a vote by Tabcorp shareholders next month. Tatts shares closed 1 per cent higher at $3.95 while Tabcorp shares were 2.7 per cent higher at $4.16.