ASEAN KEY DESTINATIONS
Thai sugar giant eyes Australia
In a statement, MSF said the proposed acquisition price is A$4 per share in cash, compared with last Friday's close of $2.73.
The sale is conditional upon Mitr Phol obtaining a seat on the board of MSF and Foreign Investment Review Board approval.
MSF previously said it was evaluating various options for funding of its growth strategy including the possibility of developing a relationship with a strategic party and was in discussions with a number of interested parties.
Mitr Phol has to date not participated in that process, and thus MSF's board said it is not aware of Mitr Phol's intentions.
"MSF looks forward to discussing with Mitr Phol their intentions and how Mitr Phol may help create value for all shareholders," the company said.
"Until MSF has evaluated this, it will be unable to determine its response to Mitr Phol's requests."
MSF is being advised by Greenhill Caliburn and Mallesons Stephen Jaques. It operates two mills in Queensland state and is in a joint venture with Bundaberg Sugar Ltd, a unit of Belgium-based Finasucre, to assume operation from Dec 1 of the Mulgrave, South Johnstone, Babinda and Tableland mills, which will see MSF emerge as the third-largest miller in Australia.
The Mitr Phol Group has been active in Thailand's cane and sugar industry for 53 years and is now the leader. Its five core business categories are sugar, particle boards, bioenergy, ethanol and warehouses/logistics, and it also operates in China and Laos.
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