21 Nov 2011

Not all shareholders expected to accept German offer

7:12 pm on 21 November 2011

German fruit supplier BayWa does not expect all of Turners & Growers shareholders to accept its takeover offer.

Turners & Growers has appointed KordaMentha to appraise the $216 million takeover offer.

Guinness Peat Group, the company's major shareholder, has already accepted the offer of $1.85 per share for its stake of 63%, which will net it $137 million.

BayWa chief executive Klaus Lutz said in Auckland on Monday that the company won't increase its offer asit considers it a fair price.

His gut feeling is that not all shareholders will sell.

Mr Lutz told Evening Business on Checkpoint BayWa Turners & Growers is a natural fit for BayWa's expertise in Germany's fruit sector.

He says BayWa intends the Turners & Growers to remain listed in New Zealand.