Kerry Group's €252 million (£198 million) bid for Golden Vale is likely to get under way tomorrow when Kerry mails its formal offer document to Golden Vale shareholders.
The first closing date for acceptances of Kerry's €1.5426 a share offer for Golden Vale will then expire in early August when Kerry aims to have the 80 per cent acceptances that will allow it to declare its offer unconditional.
Meanwhile, it is understood that Kerry's chief executive, Mr Denis Brosnan, yesterday met the 70-strong board of Golden Vale Co-op and has also had talks with the Irish Farmers' Association and the Irish Creamery Milk Suppliers' Association to enlist their support for the Golden Vale offer.
Since Kerry announced its offer for Golden Vale, its share price has recovered to €13.70. This means that Golden Vale shareholders, if they decide to accept the Kerry offer, will have to decide between the cash offer of €1.50 a share plus the 4.26 cent dividend or the alternative of one Kerry share for every 10 Golden Vale shares plus the dividend. The share alternative currently values Golden Vale shares at €1.37 compared to the €1.49 price in the market.
