Olam Agri tops Louis Dreyfus with sweetened $95m bid for Namoi Cotton

Singapore’s Olam Agri said on Wednesday it intends to raise its off-market takeover offer for Namoi Cotton to A$144.9 million ($95.49 million), a day after rival bidder Louis Dreyfus valued the Australian firm at A$138.6 million.

Olam Agri raised its offer price to A$0.70 per share from its prior offer of A$0.66 apiece, above commodity merchant Louis Dreyfus’ latest sweetened bid of A$0.67 per share.

Olam Agri said its revised offer was applicable regardless of it obtaining at least 90% stake in Namoi, which was the condition in its offer made last week.

Dutch global commodity merchant Louis Dreyfus already owns around 17% of Namoi Cotton and is vying for full control of Australia’s largest cotton producer.

However, interest from Olam Agri has sparked a bidding war between the two firms since January this year.

Both Louis Dreyfus and Namoi Cotton did not immediately respond to Reuters’ requests for comment on Olam Agri’s revised offer.

($1 = 1.5175 Australian dollars)

Reuters

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