Warrnambool Cheese & Butter Factory Co. (WCB), the Australian target of a two-way takeover battle, says a stalemate is possible between rival suitors for the nation’s oldest dairy producer.
“The prospect of a stalemate is a possibility,” Warrnambool Chief Executive Officer David Lord said today in a phone interview. “If in the future we ended up with a share register, which was altered in a major way and we had a number of major, large shareholders, then we would continue to manage the business in the interests of all the shareholders.”
Warrnambool shares are trading below bids by Saputo Inc. (SAP), Canada’s biggest milk processor, and Victoria state-based Murray Goulburn Cooperative Co. The fate of the bids may rest with Bega Cheese Ltd. (BGA), Murray Goulburn and Kirin Holdings Co. (2503), which hold a combined total of about 46 percent of Warrnambool, according to data compiled by Bloomberg.
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