NZ: shareholders reject kiwifruit merger

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NZ: shareholders reject kiwifruit merger

Shareholders in New Zealand kiwifruit company Satara have knocked back the proposed takeover from Eastpack with votes falling just short of what was needed. kiwi -portalfruticola 2

Four out of five resolutions were passed by more than 84% of shareholders, but one resolution only reached 74.8%; just shy of the 75% required for it to be passed.

The offer includes NZ$0.60 per share plus NZ$0.05 dividend for Satara's non-grower investors.

The Eastpack board intends to continue with the merger attempt with 97% of its shareholders voting in favor, while the company's chairman Ray Sharp and Satara chairman Hendrik Pieters were pleased with the overall mandate.

"Even though we had a clear mandate from over 84% of our shareholders, due to the influence of one special interest group the merger proposal, as it stands, will not proceed," Pieters said.

"I am sure there will be a lot of disappointed growers.  We will remain in discussions with EastPack and decide whether to go to vote again considering how close the decision was."


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