Marine Harvest ASA (MHG), the world’s biggest salmon farmer, may increase its 105 kroner-a-share ($18.13) bid for Cermaq ASA (CEQ), the largest publicly traded fish- feed maker, by as much as 10 kroner, SpareBank 1 Markets said.
“The price offered is not high enough to make us certain” of acceptance from the Norwegian government, Cermaq’s largest shareholder with a 43.5 percent stake, SpareBank 1 analyst Geir Kristiansen said in a note to clients today. “The bid is lower than fair value for Cermaq as-is.”
The bid by Marine Harvest, based in Oslo, needs the acceptances of two-thirds of Cermaq’s shareholders, according to an April 30 statement. It also needs Cermaq to abandon its plan to buy Peruvian fishmeal- and oil-maker Copeinca ASA (COP) in a 3.5 billion kroner deal.
Marine Harvest’s offer is “inadequate” and Cermaq will proceed with its purchase of Copeinca, Cermaq said yesterday.
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