The convening of the iiNet-TPG Scheme Meeting was announced by the Federal Court at a hearing in Perth today.

If a majority of the iiNet shareholders approve the deal it will still be subject to clearance from the competition watchdog, the ACCC, which just yesterday released a ‘Statement of Issues’ outlining its preliminary views on the proposed acquisition of iiNet by TPG. It has also asked for industry comment.

The ACCC is seeking further information to determine whether the proposed acquisition of iiNet by TPG would be likely to “substantially lessen competition in the market for the supply of retail fixed broadband services.”

The ACCC yesterday invited further submissions from interested parties in response to the Statement of Issues by 2 July, and as a result, its final decision will be deferred until 20 August.

In its Scheme Meeting notification today, iiNet said if the iiNet-TPG scheme was cleared by the ACCC, and all other conditions to the Scheme are satisfied or waived, “an application will promptly be made to the Court to approve the Scheme”.

The notification also says that independent expert Lonergan Edwards & Associates Limited's opinion is that the Scheme is "fair and reasonable and in the best interests of iiNet shareholders in the absence of a superior proposal".

The statement also said: “iiNet’s Directors continue to unanimously recommend that all shareholders vote in favour of the Scheme, in the absence of a superior proposal and subject to the Independent Expert maintaining its conclusion that the Scheme is in the best interests of iiNet shareholders.

“iiNet expects to serve the Court's order on ASIC on Monday 15 June 2015, at which time it is expected that the Scheme Booklet will be released to the ASX. The Scheme Booklet will contain full details of the expected timetable for the Scheme”.

TPG has a takeover offer for iiNet on the table for $1.4 billion, but some shareholders have gone public in recent weeks saying they believe the offer is too cheap.

iiNet chairman Michael Smith, however, has said the directors of iiNet “unanimously recommend the scheme as they believe it is in the iiNet shareholders best interests and intend to vote shares in their control in favour of the proposed scheme, in the absence of a superior proposal.”