GrainCorp Says $3B Archer Daniels Buyout Bid Falls Short

Law360, New York (November 15, 2012, 12:13 PM EST) -- Australian grain trader GrainCorp on Thursday rebuffed an AU$2.7 billion (US$2.8 billion) buyout bid by U.S. rival Archer Daniels Midland Co., saying the proposed purchase price lowballs the company.

In its October offer, Archer Daniels offered AU$11.75 per share in cash to GrainCorp investors, a roughly 33 percent premium over GrainCorp's close the day before the deal was announced. The Australian trader said the growth strategy it had in place would deliver bigger returns.

“The GrainCorp board has determined that the proposal materially undervalues GrainCorp and...
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