<article>Poultry company Bounty Fresh Food Inc has mounted an NZ$437.8 million ($309.4 million) cash offer for New Zealand&#8217;s Tegel Group Holdings Ltd, in what would be the biggest outbound deal from the Philippines in almost two years.</article>

Poultry company Bounty Fresh Food Inc has mounted an NZ$437.8 million ($309.4 million) cash offer for New Zealand&#8217;s Tegel Group Holdings Ltd, in what would be the biggest outbound deal from the Philippines in almost two years.
The bid was priced at NZ$1.23 per Tegel share representing a 50 percent premium to Tuesday&#8217;s close. It comes amid sustained pressure at the New Zealand firm which has suffered a depressed share price and missed earnings forecasts due to a glut in domestic chicken supplies.
In a filing with the New Zealand Stock Exchange, Tegel&#8217;s 45 percent shareholder, Claris Investments, said it had accepted the offer.
A spokesman for Bounty&#8217;s mergers and acquisitions said the bid was part of an expansion strategy for Southeast Asia.
&#8220;We have operations now in Malaysia, Indonesia and the Philippines &#8211; this brings another country into our grasp,&#8221; the spokesman said.
He said Bounty had not yet conducted due diligence, but that the aim was to get Tegel &#8220;back (up) to speed&#8221;.
Tegel in March forecast profit for the year ending April of NZ$25 million to NZ$27 million, from NZ$31 million in 2017.
Tegel said on Thursday it was too early for its independent directors to comment on the offer.
&#8220;In particular, the independent directors do not yet have full details in respect of Bounty&#8217;s proposed strategy for Tegel, which is something we are focused on.&#8221;
Tegel shares rose 37 percent on Thursday to close at NZ$1.12.
The deal would be subject to approval from New Zealand&#8217;s Overseas Investment Office which regulates inbound foreign investment.
Reuters data showed that a Bounty acquisition of Tegel would represent the largest outbound purchase by a Filipino company since Universal Robina Corp bought Australia&#8217;s Consolidated Snacks Pty Ltd in August 2016 for A$600 million ($454 million).
New Zealand&#8217;s economy is widely recognised for its agricultural prowess, with a clean image that makes its dairy and other produce sought after in Asian economies.
Tegel is New Zealand&#8217;s largest exporter of chicken and is responsible for more than half of the country&#8217;s poultry production.
Reuters

Poultry company Bounty Fresh Food Inc has mounted an NZ$437.8 million ($309.4 million) cash offer for New Zealand’s Tegel Group Holdings Ltd.

NZ's Tegel Group gets $309m buyout offer from Philippine poultry firm

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NZ's Tegel Group gets $309m buyout offer from Philippine poultry firm

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