Treasury Wine Estates Limited (Treasury Wines), the Australian winemaker, has reportedly rejected a takeover bid of $4.70 cash per share from US company Kohlberg Kravis Roberts & Co. L.P. (KKR), claiming that the offer did not reflect the true value of the company.
According to Australian Food News, Treasury Wines said that KKR had requested that the proposal be kept confidential and also said the decision not to disclose the proposal was consistent with the company’s continuous disclosure obligations. Since the proposal was received, Treasury Wines had held preliminary and confidential discussions with KKR, it said.
AFN also reports that the board of Treasury Wines does not intend to take any further action in relation to the proposal, saying that it remained focused on maximising shareholder value.
Treasury Wines owns a portfolio of 80 brands including Penfolds.
Source: Australian Food News