January 23, 2014
Murray Goulburn has agreed to sell its stake in Warrnambool Cheese & Butter (WCB) to Canadian dairy company Saputo for $93 million, ending a months-long battle for control and ensuring Saputo’s takeover of the company. The deal was announced just after Saputo increased its stake in WCB to a majority 58%. With the addition of Murray Goulburn’s acquired interest, Saputo now has more than a 75% interest in WCB. The acceptance by Murray Goulburn of Saputo’s offer has increased the value of WCB shares to A$9.40 and has earned Murray Goulburn a gain on investment before tax and costs of $51 million.
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