Bega still considering WCB offer

Dairy group board meets to discuss potential changes to bid for takeover target.

The board of Bega Cheese (BGA) met today to discuss its takeover offer for target Warrnambool Cheese and Butter Factory (WCB).

In a statement to the Australian Securities exchange, the dairy group said it had not yet made a decision on whether to make changes to its offer "but will continue to consider the matter".

Bega is currently offering 1.2 of its shares plus $2 cash for every WCB share.

Canadian dairy giant Saputo Inc and Murray Goulburn Co-operative have also made offers for the company.

Bega's share price jumped 42 cents on Friday after New Zealand dairy giant Fonterra secured a 6% stake in the Australian group (see WCB: All the way to $8.50?).

Reports earlier this week suggested Bega was unlikely to amend its $435 million cash and scrip offer for WCB.

At 1411 AEDT Bega shares were trading 0.62% higher at $4.84, while WCB's stock was flat at 85 cents.

Related Articles