Kerry Co-op Reportedly Interested In Spinning Out Shares In Kerry Group
Irish dairy company, the Kerry Co-op, is reportedly set to propose a way to undertake a partial spin out of its €2.2 billion stake in Kerry Group, according to the Irish Independent.
The board of the co-op currently holds a 13.7% stake in the greater company and is believed to be taking advice from tax experts to proceed with the spin out.
There will be a board meeting in December to decide on whether or not the acquisition of the co-op by Kerry Group should proceed, as there are a number of shareholders in the co-op who were unhappy about the deal.
Whilst some worry they can not cash in on some share pots, other farmers were displeased that they were left out of recent consultation of members by the board.
According to the Irish Independent, sources close to the matter believe that the board will not proceed with the acquisition, however, interest from members to cash in on their shares has been made clear to the board.
29% of consulted shareholders said they would favour a spin out of shares, but 95% were against the purchase of the agribusiness unit.
© 2018 Checkout – your source for the latest Irish retail news. Article by Aidan O’Sullivan. Click subscribe to sign up for the Checkout print edition.