Bright hoping for talks with CSR this week

Posted by Daniel Palmer on 19th January 2010

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 as the Board is of the opinion that the demerger is in the best interests of shareholders,” they advised in a statement that failed to rule out the prospect of talks with their suitor.

Bright executives are reportedly ready to engage with CSR and, while it is currently expected they will hold talks, the Chinese firm is likely to walk away if they are not held soon.

“The window is closing,” a source close to Bright told the Australian Financial Review. “If we don’t get engagement in the not-too-distant future, the whole thing may be moot.”