A2 Milk takeover ‘mooves’ stalled
A2 MILK yesterday hosed down takeover speculation about the dual-listed dairy foods group.
The company, which is listed on the Australian and New Zealand sharemarkets, yesterday said “no takeover offer is imminent” after US-based Dean Foods and Australia’s Freedom Foods stopped talking about their proposal.
Dean Foods and Freedom Foods, which is a major supplier to and shareholder in A2, put forward an expression of interest to buy the company in June for an undisclosed amount.
They were knocked back by A2’s board, which said the deal was not compelling enough and talks had since stalled.
Last month, A2 said it had not received anything more on the bid.
ASX-listed Freedom Foods said it had “ceased detailed discussion in relation to A2” with Dean Foods and was reviewing its 18 per cent holding, “including evaluating the benefits of maintaining a strategic stake”.
A2’s Australianlisted shares closed down 1¢ at 62.5¢ yesterday, while Freedom Food’s shares rose 3¢ to $3.
“Although there has been no formal withdrawal, the board continues to consider that no takeover offer is imminent,” A2 said.