WARRNAMBOOL Cheese & Butter Factory’s board is set to meet by Friday to decide the merits of Murray Goulburn’s latest takeover offer, believed to be priced at about $4.30 a share.
According to The Australian Financial Review, a key consideration for directors will be the reaction of its supplier-shareholders, representing up to 40 per cent of the register.
There are concerns that increased concentration would allow MG to lower milk prices.
Therefore, rival bidder Saputo – still waiting in the wings – could have the advantage if it meets or exceeds MG’s offer.
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