A subsidiary of domestic giant China Mengniu Dairy Co is reported to be bidding for Murray Goulburn Co-operative Co, the biggest Australian dairy producer, in a deal valued at about A$1 billion ($779 million), according to thecattlesite.com on Friday.
Other suitors include Chinese dairy producer Inner Mongolia Yili Industrial Group Co, Canadian cheesemaker Saputo Inc, Australian producer Bega Cheese and Kirin Holdings Co’s Lion Pty, the report said.
Murray Goulburn indicated it would decide late this month on the shortlisted bidders.
Adviser Deutsche Bank AG received several unsolicited indicative bids earlier this year after announcing a strategic review, the report said. The company reported a net loss of A$371 million in the financial year that ended June after it cut the price it pays dairy farmers and milk production fell, according to the report.
Source: Global Times
