GrainCorp’s AGC Abandons Bid for CBH Group
Australian Grains Champion (AGC), the investor consortium backed by GrainCorp, and which also consisted of First State Super and two former CBH directors, has announced that it is abandoning its efforts to acquire rival, CBH and list it on the ASX.
After eight months of negotiations, the decision to withdraw from the $600 million cash plus shares deal was made due to a lack of support from the majority of CBH’s 4,100 grower-members and co-op directors.
AGC also stated that the withdrawal from negotiations was being done "in the light of CBH's ongoing complex and long-winded structure and governance review.”
In the past few weeks surveys have been sent to CBH grower members to gather information regarding their wishes about multiple structural and governance questions moving forward.