Simplot set to finalise takeover of Mr Chips
Simplot Australia, a division of American-based JR Simplot, has announced their takeover offer for New Zealand potato chip processor Mr Chips has gone unconditional, with Simplot now holding a 98.61% share in the company.
Mr Chips makes over 25,000 tonnes of frozen and chilled potato products every year from their plants in Auckland and Christchurch. About half of their sales last year were made from exports to Australia.
Simplot Australia, which has a wide range of popular food brands in Australia including Birds Eye, John West, Edgell and Leggo’s, had a supply arrangement with the New Zealand company prior to the takeover.
“Simplot is pleased to advise, in accordance with Rule 25(5) of the Takeovers Code, that its full takeover offer for Mr Chips Holdings Limited (Mr Chips) dated 8 August 2008 (Offer) is now unconditional,” the company advised in a statement this morning.
Simplot plans to delist the company from the New Zealand Stock Exchange and increase their production capacity with the opening of a new plant on the south island of New Zealand.