Dairy target upbeat

Warrnambool Cheese and Butter says it could double earnings in the current year as market conditions improve, and it has forecast 2013–14 earnings of $47 million to $52 million.

The company is described as a takeover target because it recently received a takeover offer — the article notes it was the subject of a takeover approach and has been in takeover discussions.

Bega Cheese made a $319 million offer for Warrnambool Cheese and Butter, which Warrnambool rejected last month.

According to the company, improving market conditions could allow Warrnambool Cheese to double its earnings in the current year, contributing to the forecasted $47–$52 million for 2013–14.

More details will be available when Warrnambool Cheese releases its target's statement, which the article identifies as the next source of official information.

The article indicates the target's statement will provide more details on the takeover situation and the company's position, making it an important document for investors seeking official information.

The article highlights both the earnings forecast and the rejected $319 million bid; it suggests investors should consider the company's improved earnings outlook alongside the value implied by the offer when assessing the situation.

Based on the article, everyday investors should watch for the release of Warrnambool Cheese's target's statement for official details and any follow-up announcements related to the takeover or changes to the earnings forecast.