CSR has denied that there is interest from a Japanese consortium in its sugar business, Sucrogen, after a report in the Australian Financial Review yesterday suggested that a group including Mitsubishi and Mitsui had made a “soft approach” to the company. CSR stated that it had “not received such an approach” and that it remained in talks with Chinese group Bright Foods for sale of the Sucrogen business.  The company has been approched twice by Bright Foods, but has held... ...Read more »

CSR Limited announced on Thursday that it has received a $1.75 billion dollar conditional offer from Bright Food to acquire CSR’s Sugar and Renewable Energy business, Sucrogen. A previous offer by the Chinese group of $1.5 billion was turned down in January; however, CSR’s preferred option – a demerger – was blocked by the Supreme Court last month over concerns that the building business alone might not be able to cover potential asbestos liabilities. The new offer, in addition... ...Read more »

Australian building materials and sugar group CSR has said they will take time to assess the ramifications of a Federal Court decision yesterday that effectively blocked their plans for a demerger. The Federal Court ruled that shareholders should not be able to vote on plans to separate their sugar and renewable energy businesses from the rest of the group because it would make them “less likely” to be able to meet asbestos liabilities. A ruling CSR disputes. “The Board of CSR believes... ...Read more »

The Federal Court of Australia has today blocked the demerger of the building materials and sugar group CSR. CSR had been hoping the Court would approve their plans for a shareholder vote on a separation of their sugar and renewable energy divisions into a new company called Sucrogen. But those hopes were dashed this afternoon, with Justice Margaret Stone agreeing with ASIC that there is considerable uncertainty as to how they would fund the  asbestos claims against the company. ASIC was joined... ...Read more »

Bright Food Group is looking to engage the CSR Board in discussions this week about their non-binding takeover offer. Shanghai-based Bright made public a $1.5 billion offer for the sugar business of CSR a week ago, but Australia’s largest sugar player has so far insisted that their demerger plans remain a more suitable option. “CSR remains focused on maximising shareholder value. Its preferred option continues to be to progress the demerger proposal of its Sugar and Renewable business... ...Read more »

CSR has today advised their shareholders that an assessment of the non-binding offer from China’s Bright Food Group has resulted in them dismissing the proposal. “CSR Limited has considered the expression of interest from Bright Food Group Co., Ltd including its offer to hold discussions to develop a proposal to acquire CSR’s Sugar and Renewable Energy business,” they said in a statement. “CSR remains focused on maximising shareholder value. Its preferred option continues... ...Read more »

As speculation of other bidders entering the fray mounts, CSR is pushing on with demerger plans in the wake of a $1.5 billion informal offer from Bright Food this week. CSR last night advised that discussions with ASIC were continuing in relation to the disclosure of asbestos liabilities in the scheme booklet for the proposed demerger of its sugar and renewable energy business. CSR said they had reached agreement with ASIC to a short extension of time to complete these discussions, with the first... ...Read more »

Chinese food processor Bright Food has approached Australia’s largest sugar firm regarding the possibility of a takeover. Bright said in a statement today that they had approached the ASX-listed firm about the possibility of a deal for their sugar and renewable energy divisions – which are due to be combined into one company upon likely completion of a demerger in the next couple of months. The proposal of an all-cash bid would value CSR Sugar at $1.5 billion. Bright has written to the... ...Read more »

Hershey and Nestle will not “willingly stand by” and become less competitive in the global confectionery market – and could still launch a rival bid for Cadbury, one analyst has suggested. Simon Marshall-Lockyer, an equity analyst at Jefferies International, has insisted that a joint offer from Hershey and Kit Kat maker Nestle could still emerge for Cadbury, which this week (9 November) rejected a takeover bid from Kraft Foods. Kraft’s cash-and-stock offer for Cadbury remains... ...Read more »

Cadbury management has remained steadfast in their belief that the confectioner is worth much more than the value placed on it by Kraft, rejecting a formal offer from the manufacturer last night. Kraft first made a non-binding offer to the Cadbury Board in September, a bid that was quickly rejected. Yesterday, they made the same offer but this time it represents a binding proposal. In a statement Cadbury said that because of the relative underperformance of Kraft shares since the bid, the offer was... ...Read more »