Glanbia offer to be lodged today
Intensive three-week communication blitz planned by co-op
Published 20/04/2010 | 05:00
Glanbia Co-op is set to make an official offer today for Glanbia plc's Irish operations.
Dates for farmer information meetings and arrangements for shareholders to vote on the bid will also be confirmed by the co-op.
No details of the bid were available ahead of this morning's announcement but industry analysts have suggested that the co-op is prepared to pay in excess of €320m for the plc's Irish businesses.
However, it is unclear if this figure includes a share of the company's €70m pension deficit. The co-op is seeking to buy Glanbia's dairy processing, consumer foods and agri-trading divisions. The business has a turnover of €1bn.
Any deal must receive the backing of 75pc of the co-op's shareholders at two special general meetings.
Those eligible to vote include 4,174 active milk suppliers, 2,742 who trade in grain or goods with the co-op and a further 1,311 former milk suppliers, grain growers and traders.
The two special meetings are due to take place between the middle and end of next month at the Teagasc College, Kildalton, Co Kilkenny.
The second meeting will only happen if the proposed deal receives the required 75pc support at the first meeting. An intensive three-week communication campaign, involving private meetings for co-op shareholders, will take place in the run-up to the first special general meeting.