The winemaker Delegats Group is making a takeover offer for loss-making Oyster Bay Marlborough Vineyards.
Delegats, which already owns 55% of the company, is offering $1.80 a share, or one Delegats share for each Oyster Bay share.
That's 20 cents higher than Oyster Bay's closing share price when its stocks last traded, last week.
Oyster Bay's chairman Sandy Maier says the company has had a tough time over the past couple of years as grape prices have fallen, and it needs to restructure.
Mr Maier is advising shareholders to do nothing until an independent committee makes a recommendation.