TUF suspends tuna company buyout financing

Thai Union Frozen Products (TUF) has announced it is suspending its plan to finance the acquisition of Bumble Bee, citing an ongoing investigation into the planned merger by the U.S. Department of Justice.

Reuters is reporting the seafood giant has suspended its public share offering plan. The company had said recently that it would use the new shares, offered to existing shareholders, to finance the purchase of Bumble Bee.

TUF announced in December 2014 that it was planning to acquire the canned tuna company from London-based Lion Capital for USD 1.5 billion (EUR 1.4 billion). According to Reuters, TUF expected to use the share offering plan to raise nearly THB 13 billion (USD 380 million, EUR 345.5 million) toward the purchase price.