Australia's United Malt agrees to $1 billion takeover offer from France's InVivo (updated)

United Malt

02/07/2023 23:46

(Adds deal details in paragraphs 2-5)
       July 3 (Reuters) - United Malt Group Ltd  UMG.AX  on
Monday said it signed a deal to be taken over by Malteries
Soufflet, a branch of French agribusiness InVivo, for A$1.5
billion ($999 million).
    The A$5 per share offer represents a 45.3% premium to United
Malt stock's closing price of A$3.44 on March 24, before the
offer was first disclosed.
        The 100% takeover would make InVivo the world's top malt
producer and double the size of its malt business three years
earlier than planned, InVivo Chief Executive Thierry
Blandinieres had told Reuters back in March.
  
        United Malt's board unanimously recommended that its
shareholders vote in favor of the proposal.
  
        "The United Malt Board believes that the Scheme
Consideration appropriately reflects the value of our asset
portfolio and the anticipated improvement in our near term
earnings outlook," United Malt Chairman Graham Bradley said. 
  

($1 = 1.5011 Australian dollars)

 (Reporting by Harish Sridharan in Bengaluru; Editing by Lisa
Shumaker and Nick Zieminski)
 ((Harish.Sridharan@thomsonreuters.com; Twitter: https://twitter.com/damnit_saladin;))