The Cutrale and Safra Group has extended its previously announced tender offer for the acquisition of US-based banana producer Chiquita Brands International until 12:00 midnight, New York City time, at the end of the day on January 5, 2015.
Previously, Brazilian juice maker Grupo Cutrale and investment firm Safra Group had announced on 27 October, 2014 the decision of a definitive merger agreement through its affiliate, Cavendish Acquisition, under which Cutrale-Safra had agreed to acquire all the outstanding common shares of Chiquita for $14.50 per share in cash.
The total value of the deal had been estimated to be around $1.3bn which was inclusive of Chiquita's net debt.
Computershare Trust Company, which is the depositary for the tender offer has advised that at the end of 23 December 2014, approximately 38,745,924 shares of Chiquita common stock which excludes 1,688,404 shares of Chiquita common stock, subject to notices of guaranteed delivery, have been validly tendered representing 82.24% of Chiquita's outstanding shares.
The Competition Commission of Switzerland had notified the parties on 18 December, 2014 that the acquisition had been authorised in Switzerland and that all required consents and approvals had been received.
During the announcement of the merger, the companies had said in a joint statement: "Cutrale-Safra is committed to supporting Chiquita as it continues to build out the strength of its franchises. To ensure Chiquita has the premier and most sustainable platform in its sector, Chiquita will be able to access Cutrale-Safra's substantial experience in all aspects of the fruit and juice value chain and extensive financial expertise.
"Chiquita will be able to take advantage of the vast knowledge of the Cutrale Group in farming, processing, technology, sourcing, distribution, logistics and marketing. Furthermore, the Safra Group's highly regarded global reputation for business and investment success, its knowledge of market conditions around the world, and its long term relationships internationally all can add value to Chiquita and further enhance its prospects."
Image: Chiquita is one of US's leading banana manufacturer. Photo: courtesy of Ambro/freedigitalphotos.net.
