Page 12 - Why I Like Case Studies

Green’s method of the acquisition was what piqued my

interest. The press in general reported Green’s acquisition of

Dunlop in this fashion, ‘a deal too good to refuse’. The reality

however, was somewhat different. Green had done his

homework. He had read the articles and memorandum of

association for Dunlop. Within these documents he

discovered that in order to pass the restructuring by

Edwards 70% of preference shares had to agree to the deal.

Green quietly acquired 30.1% of the preference shares and
threatened, or blackmailed the banks with the blocking of

the Edwardes deal. The banks at the time were facing their

own financial pressures, in particular Crocker in the U.S. The

result was that the banks pulled the plug on the Edwards’

deal and agreed to the acquisition by BTR.

Green paid £100 million for Dunlop. He then immediately

sold its American subsidiary for £143 million.