GrainCorp Rejects Improved ADM Buyout Offer

So much for that idea. On Wednesday after close of trading, a spokesperson for Archer Daniels Midland (NYSE: ADM  ) confirmed  that the board of directors of Australian grain processor GrainCorp has officially rejected ADM's Dec. 3 offer to acquire the company.

ADM had proposed buying the 80.1% of GrainCorp's shares that it did not already own, for a purchase price of $12.73 per share. ADM had further proposed that current holders of GrainCorp shares would keep for themselves the $0.365-per-share dividend that GrainCorp announced on Nov. 15.

GrainCorp, however, replied  Wednesday that "the increase in the proposed price has not changed the Board's view that ADM's proposal materially undervalues GrainCorp," and it so informed ADM.

ADM shares closed down 0.2% at $27.22 Wednesday, before news of GrainCorp's response had been made public.


 

Read/Post Comments (0) | Recommend This Article (0)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Be the first one to comment on this article.

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 2151494, ~/Articles/ArticleHandler.aspx, 10/31/2014 12:43:54 PM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Apple's next smart device (warning, it may shock you

Apple recently recruited a secret-development "dream team" to guarantee its newest smart device was kept hidden from the public for as long as possible. But the secret is out. In fact, ABI Research predicts 485 million of this type of device will be sold per year. But one small company makes Apple's gadget possible. And its stock price has nearly unlimited room to run for early-in-the-know investors. To be one of them, and see Apple's newest smart gizmo, just click here!


Advertisement