Arla in Discussions to Buy Remaining Shares of UK Subsidiary
The move for Arla Foods UK plc may lead to a recommended cash offer to purchase the remaining 49% of the shares. Arla Foods amba owns 51% of the shares in the British company.
20/10/06 Arla Foods amba has entered into negotiations with its British subsidiary Arla Foods UK plc which may lead to a recommended cash offer to purchase the remaining 49% of the shares. Arla Foods amba owns 51% of the shares in the British company.
"We are unable to give more background or further information at this time because of restrictions imposed on us by the City Code on Takeovers and Mergers. All I can say is that our approach is a natural development from the merger in 2003 between Arla Foods plc and Express Dairies. We are now in talks with our British subsidiary about a possible bid for the remainder of the shares. We will make further announcements in due course", comments Arla Foods amba's CEO Peder Tuborgh.
In a joint statement the companies said, "shareholders of Arla Foods UK Plc should be aware that there is no certainty that an offer will be forthcoming."
