National Foods fight rages on

AUSTRALIA – San Miguel has attempted to trip up Fonterra’s bid for National Foods by claiming the deal has not revealed enough detail about a joint venture.

San Miguel, which was outbid by a new offer from Fonterra in early March, has approached Australia’s Takeover Panel complaining that Fonterra’s bid would bring about “unacceptable circumstances”.

A statement from the Takeover Panel said: “San Miguel’s application alleges that unacceptable circumstances exist because there has been inadequate disclosure concerning a possible joint venture between National Foods, Sodima SAS and Yoplait SAS if Fonterra Cooperative Group Ltd acquires all of the shares in National Foods.” National Foods distributes the French-owned Yoplait brand in Australia, Sodima is a Yoplait-controlled company which has manufacturing and distribution agreements with National Foods.

San Miguel claims that entry into arrangements about a possible joint venture has made Yoplait and Sodima associates of Fonterra. According to San Miguel, both Yoplait and Sodima should have lodged substantial holding notices detailing any joint venture arrangement between Fonterra, Sodima and Yoplait.

San Miguel has also extended its existing offer for National Foods to 15 April.