Thailand's Mitr Phol Sugar launches $324 mn bid for Australia's MSF Sugar

09 Nov 2011

Thailand's Mitr Phol Sugar Corp Ltd has launched a A$313 million ($324 million) bid for Australia's MSF Sugar Ltd, one the country's last remaining independent cane millers.

Privately-owned Mitr Phol Sugar, the world's fifth largest sugar producer, and the largest producer in Asia, which already owns 22 per cent of MSF, is offering A$4.45 a share, a 31-per cent premium to MSF's last trading price.

Mitr Phol's offer is conditional on 50.1-per cent acceptance and approval from the Australian anti-trust regulator.

Under an agreement with MSF, Mitr Phol has been granted exclusivity from 4 November 2011 to 21 November 2011 to complete limited due diligence.

''MSF will work with Mitr Phol to see if the due diligence requirements can be quickly satisfied and a takeover offer formalised on the terms agreed. Assuming Mitr Phol satisfactorily completes its limited due diligence, I together with the Board of Directors intend to recommend the Mitr Phol Offer if it is made, subject to there being no superior proposal and subject to an independent expert determining that the Mitr Phol Offer is fair and reasonable,'' MSF chairman James Jackson said in a company statement.