Ruralco may sell Elders stake
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Ruralco Holdings (RHL) may sell its stake in one-time takeover target Elders (ELD) but will not decide until it sees the group's full-year results in November, The Australian Financial Review reports.
According to the newspaper, the Ruralco board wants to see Elders' results before deciding whether to keep its 12% stake in the company after having a $245 million takeover offer for its rural services division rejected in June.
Elders recently announced a range of cost-cutting measures including branch closures and job losses.
Elders chairman Mark Allison was not concerned about Ruralco's stake and thought Elders could turn its business around, the AFR reports.
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