EVANS & TATE REJECT YARRAMAN BID

Last week, Australia wine group Evans & Tate turned down the takeover bid from Yarraman Winery, citing they would not accept the offer “in its current form.” It seems that E & T has left the door open for further negotiations and a better offer.

Despite reports by the AAP (Australian Associated Press) that E & T was likely to accept the $20 million bid by Yarraman, the company is holding out for more.

“Representatives of E&T have met with Yarraman representatives and raised various matters with Yarraman as matters requiring further consideration and negotiation. These matters do not enable E&T to accept the Offer in its current form,” said E & T in a statement.

This sounds a little familiar, reminding one of a much scaled-down version of last year’s Constellation and Vincor ordeal (which ended in STZ acquiring the Canadian company.)

Yarraman North America director Bill Middleton told the AAP, “Neither of us [Yarraman and E & T] has seen any insurmountable obstacle to proceeding to a transaction at this stage.”

One thing that Yarraman is remaining mum about is its rumored association with GE Money, which is supposedly the debt financier behind its bid for E & T.