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Goodman Fielder says Wilmar's $1.5 billion bid undervalues firm

Published on Apr 28, 2014 9:22 AM
Bottles of Wilmar International Arawana brand cooking oil sit on a shelf at a supermarket in Shanghai, China. -- FILE PHOTO: BLOOMBERG

SYDNEY (Reuters) - Australian food firm Goodman Fielder said it has received a A$1.3 billion (S$1.5 billion) takeover proposal from Singapore's Wilmar International and Hong Kong's First Pacific Co but that the offer undervalues the company.

Australian and New Zealand food assets have become increasingly attractive to offshore investors, as the countries position themselves to provide for Asia's rapidly growing middle-class.

Shares in Goodman Fielder jumped 18 per cent to match the offer price of A$0.65 per share, a 2-1/2 month high.

Wilmar, which already owns 10 per cent of Goodman Fielder, the maker of Country Life bread and Meadow Lea margarine, said the offer represented an opportunity to "create a leading Asia-Pacific agriculture and consumer staples company".

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