Chiquita receives rival offer - The Packer

Chiquita receives rival offer

08/11/2014 02:23:00 PM
Andy Nelson

ChiquitaTwo Brazilian companies have made an offer to buy Chiquita Brands International.

Juice maker Cutrale and investment firm Safra Group have made a cash bid for Charlotte, N.C.-based Chiquita, according to an Aug. 11 Chiquita news release.

In the offer, which was unsolicited, the two companies would buy the outstanding common stock of Chiquita at $13 per share, according to the release.

Chiquita’s board of directors will “carefully review” the offer, and the company advised its shareholders to take no action until the board makes a recommendation, according to the release.

“Chiquita will have no further comment on the Cutrale Group and the Safra Group’s offer until the Board has completed its review,” according to the release.

The bid would be worth $611 million, according to media reports.

The offer comes as Chiquita and Dublin-based Fyffes PLC are waiting for their shareholders to approve the deal and for final regulatory approval.

The proposed $1 billion merger took a step forward June 2 with the expiration of a waiting period for U.S. antitrust review of the deal.

The Brazilians’ bid is 29% higher than Chiquita’s closing price on Aug. 8, according to reports.

Shares of Chiquita rose more than 30% Aug. 11 in response to the Brazilians’ offer. Share of Fyffes fell 13%.



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