GrainCorp, Australia’s last remaining independent listed agribusiness, has rejected a sweetened takeover bid from US food giant Archer Daniels Midland, arguing the $2.8 billion offer does not sufficiently value it.
ADM’s offer was increased to $12.20 this month, plus allowing shareholders to retain the 35 cent dividend, from $11.75 per share offered in October.
But GrainCorp said the sweetened price had “not changed the board’s view that ADM’s proposal materially underalues GrainCorp”.
GrainCorp is the last available independent asset of scale in Australia, the world’s second-largest wheat exporter.