Norwegian fish farming company Cermaq has rejected a buyout offer from its rival, Marine Harvest, according to statements from both companies released today.
The rejection comes in spite of Marine Harvest announcing it was upping its offer to NOK 107 (USD 18.27, EUR 14.05) per share.
“While Marine Harvest has expressed a willingness to present a significantly better offer conditional upon the recommendation of such offer from the Cermaq Board, it has not been possible to reach an agreement for such recommended offer,” Cermaq said in its statement. “The Board is maintaining its conclusion that such offer significantly undervalues Cermaq.”
Marine Harvest made its offer while Cermaq was considering a buyout offer of its own for Peruvian fishmeal and fish oil company Copeinca. Marine Harvest said it would not make its offer unless Cermaq gave up its bid for Copeinca.
At Cermaq’s recent general meeting, shareholders did not elect to continue pursuing Copeinca, but now the company has rejected Marine Harvest, too. In response, Marine Harvest said it will continue the process of its offer, but it recognizes that Cermaq will not sell.
“Marine Harvest therefore sees no reason to continue these negotiations, but will nevertheless and in line with earlier notices make a voluntary offer for all outstanding shares in Cermaq, to be settled in a combination of shares and cash,” Marine Harvest said.
Marine Harvest is expected to publish an offer document on 5 June 2013. The offer period will begin then and expire on 19 June 2013.
