The Australian subsidiary of Japanese food giant, Kirin, has taken a 9.99 percent stake in Warrnambool Cheese and Butter, solving the mystery as to why the dairy’s shares soared as high as $9.30 on Tuesday.
Warrnambool which is currently the subject of a bidding war between Bega Cheese Limited, Murray Goulburn and Canadian processor Saputo, released a statement to the Australian Securities Exchange on Tuesday confirming that it had no knowledge of what had driven the company’s shares to rise, ABC News reports.
However, close of trade revealed an answer to the question – Kirin had purchased a 9.99 percent stake in the business, marking the latest move in the bidding war for the 120 year old dairy company.
The bidding war for Warrnambool has been making headlines around the country for weeks and Kirin’s recent purchase confirms its position as the 4th entrant into the Warrnambool bidding ring.