|The Cutrale Group, a juice processing and agribusiness company in Brazil, along with investment firm the Safra Group, offered to acquire Chiquita in a transaction valued at approximately $630 million.|
CHARLOTTE, N.C. — Chiquita Brands International, Inc. said it has postponed its special meeting of shareholders to vote on the proposed merger with Dublin, Ireland-based Fyffes P.L.C. The meeting, which was scheduled for Sept. 17, has been pushed back to Oct. 3.
Additionally, Chiquita said Fyffes has granted it a waiver permitting Chiquita to engage in discussions with the Cutrale Group and the Safra Group. Subsequently, Chiquita has sent a letter to Cutrale / Safra indicating its willingness to offer to Cutrale / Safra the opportunity to conduct focused due diligence and present its final and best offer.
The Cutrale Group, a juice processing and agribusiness company in Brazil, and the Safra Group, an investment firm, on Aug. 11 offered to acquire Chiquita for $13 per share in cash for a transaction valued at approximately $630 million. But Chiquita on Aug. 14 said its board of directors deemed the bid “inadequate.”
Chiquita said it doesn’t plan to provide any more updates on the potential merger until its board of directors has reached a decision on a definitive course of action. In the interim, Chiquita continues to recommend that its shareholders vote “for” the Fyffes transaction and the other proposals on the White proxy card.
Chiquita and Fyffes announced in March their intent to combine operations into a new company called ChiquitaFyffes P.L.C.In addition to the update on the merger talks, Chiquita said it is extending the employment of Edward Lonergan, the company’s chief executive officer, through Oct. 8, 2015. Chiquita said the extension would help ensure continuity.