Warrnambool Cheese and Butter Factory
(ASX:WCB) has labelled Bega Cheese’s Limited
(ASX:BGA) takeover bid highly opportunistic and urged shareholders to take no action as it continues to mull the offer.
The WCB board is currently reviewing Bega's offer for 1.2 Bega shares plus $2 cash for every WCB share, with the assistance of its legal and financial teams.
The company highlighted its improving product mix, higher margins and earnings diversification as important factors in considering the offer.
WCB says given the company’s highly favourable outlook, it considers the timing of the offer to be highly opportunistic.
The company says further recommendations will be outlined in a formal response to the offer.
Warrnambool Cheese and Butter Factory delivered a net profit of $7.5 million in fiscal 2013.
