China’s Haier Group offers to buy rest of Fisher and Paykel Appliances for $710.36 mn

12 Sep 2012

Chinese white-goods giant, Haier Group, yesterday offered to buy the remaining stake in kitchen and appliance maker Fisher and Paykel Appliances Ltd for NZ$869 million ($710.36 million).

Haier, which already owns 20 per cent of Fisher and Paykel, has offered to pay NZ$1.20 ($0.97) a share in cash for the remaining 80 per cent, a 15.4 per cent premium to its closing price.

The offer is subject to Haier gaining control of more than 50 per cent of Fisher & Paykel and approvals from the regulators in New Zealand.

Fund manager Allan Gray, which owns 17.46 per cent of Fisher & Paykel, has supported the deal, giving Haier 37.46 per cent of the Auckland-based appliance maker.

Fisher & Paykel said in a statement that its board supports the offer, but subject to a report by an independent adviser and the absence of a superior bid.

Haier had acquired the stake in Fisher & Paykel in 2009 for around $65 million, and received the right to sell Fisher & Paykel's products in China, while Fisher & Paykel the right to sell Haier appliances in New Zealand, Australia and Ireland.