<article>Australian packaged food supplier<a style="color: #000080;" href="http://www.dealstreetasia.com/?s=Patties+Foods"> Patties Foods Ltd </a>said on Thursday it has accepted a A$231 million ($167 million) takeover offer from private equity group <a style="color: #000080;" href="http://www.dealstreetasia.com/?s=Pacific+Equity+Partners">Pacific Equity Partners</a>.</article>

Australian packaged food supplier<a style="color: #000080;" href="http://www.dealstreetasia.com/?s=Patties+Foods"> Patties Foods Ltd </a>said on Thursday it has accepted a A$231 million ($167 million) takeover offer from private equity group <a style="color: #000080;" href="http://www.dealstreetasia.com/?s=Pacific+Equity+Partners">Pacific Equity Partners</a>.
Patties said its board has recommended the non-binding and conditional cash offer it received on Monday, which was priced at A$1.65 a share, a 24-percent premium to Patties&#8216; Friday&#8217;s close.
The takeover offer included an equity alternative, Patties said, which would enable shareholders to retain an indirect interest in the business.
&#8220;Whilst the board remains confident in management&#8217;s plans for growth and innovation in the core brands and the business is experiencing strong momentum, the scheme represents an attractive value for shareholders,&#8221; said Patties chairman, Mark Smith in a statement.
The takeover is expected to be completed in September 2016.
Patties, which makes frozen sweet and savoury foods including pies, sausage rolls, pastries, crumbles and cakes, posted a 12 percent decline in first-half net profit in February, largely due to a product recall.
The company was forced to recall a frozen mixed berries product last year amid concerns it had caused an outbreak of hepatitis A. Laboratory tests later cleared the berries of carrying the disease
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Reuters

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Australia's Patties Foods accepts A$231m takeover offer

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Australia's Patties Foods accepts A$231m takeover offer

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