May 28, 2007

Singapore's Olam raises offer for Queensland Cotton

Singapore's Olam International Ltd said Monday (May 28) it raised its takeover offer for Queensland Cotton Holdings Ltdand has secured a unanimous recommendation in favour of the offer from the Australian company's directors.

The agricultural commodities company, which originally offered A$4.75 a share, will now pay A$5.65 a share, which will rise to A$5.90 if acceptances reach 75.1 percent, it said in a statement.

The improved offer, which values Queensland Cotton around A$166 million at the higher price, trumps the A$5.31 a share being offered by 20 percent-shareholder France's Louis Dreyfus Commodities BV.