The latest development in the bidding war for Warrnambool Cheese and Butter has seen the front-runner, Canadian company Saputo, increase its stake in the business.
Now the largest shareholder, Saputo increased its stake from just over 18 percent this week to 20.14 percent this morning.
Saputo has made a $9 per share offer for Warrnambool and its offer is set to close tomorrow, however Food reported earlier this week that Saputo was considering extending this deadline after it was announced Warrnambool’s board supports its bid.
Murray Goulburn has also been a strong contender in the bidding war, however Warrnambool released a Target Statement on Tuesday (7 January) urging its shareholders to reject its $9.50 per share offer, which it claims is highly conditional and is subject to the granting of authorisation by the Australian Competition Tribunal.
According to weeklytimesnow, Murray Goulburn currently owns 17.7 percent of Warrnambool, while Bega Cheese owns 18.8 percent and Lion 9.9 percent.