Australia's Costa Group slips most in over 3 weeks on lower buyout offer

Costa group

18/09/2023 03:41

** Shares of Costa Group  CGC.AX  fall as much as 3.7% to
A$2.830, their worst intraday drop since Aug 24
    ** CGC, Australia's leading grower, packer and marketer of
fresh fruit and vegetables, was trading at its lowest level
since Sept 11, as at 0204 GMT
    ** Set to lose for a second straight session, if trend holds
    ** Co says it received a lower buyout offer from U.S.
private-equity firm Paine Schwartz Partners (PSP) of A$3.20 per
share, valuing it at A$1.49 bln ($959.26 mln)
    ** Revised offer lower than previous bid of A$3.50 apiece
made in July
    ** CGC shares had been trading at a discount to PSP's
initial offer price due to bleak trading outlook
    ** CGC considering the lower buyout offer, and continuing to
engage with PSP
    ** CGC up 6.9% this year, as of last close, vs a 3.4%
increase in the ASX 200 benchmark index  .AXJO  

    ($1 = 1.5533 Australian dollars)

 (Reporting by Sameer Manekar in Bengaluru)
 ((Sameer.Manekar@thomsonreuters.com; Twitter: https://twitter.com/sameer_manekar))