Goodman Fielder, Australia's largest food company, yesterday reminded the world, on the occasion of announcing a dividend, that it remained adamant in its decision to reject the hostile takeover bid by Australian food ingredients company Burns Philp.
Goodman Fielder's board of directors announced that it has declared a special dividend of 20 cents per share for shareholders. At the same time, the company added that it continues to recommend that shareholders reject the inadequate bid by Burns Philp.
Dr Keith Barton, chairman of Goodman Fielder said :"The Burns Philp offer price simply does not reflect the underlying value of Goodman Fielder's unique portfolio of retail brands, its strong market positions in Australasia and the Pacific, or the company's ongoing potential.
"Under the leadership of Goodman Fielder's CEO, Tom Park, the company has significantly improved shareholder returns through adherence to disciplined core operating principles which have delivered productivity gains, more efficient capital management and improving core brand growth," he added>
Dr Barton also confirmed that Goodman Fielder is continuing to explore other alternative proposals to 'enhance shareholder value'.
Goodman Fielder's brands include Uncle Tobys, Meadow Lea, Mighty Soft Buttercup and White Wings.
In January this year Burns Philp, which already owns a 19.9 per cent interest in Goodman Fielder, made an unsolicited off-market cash takeover bid for the company.