Australia clears Burns bid, but delays from NZ

The Burns Philp - Goodman Fielder saga continues with the news today that the Australian Competition & Consumer Commission has cleared the hostile bid from Australian ingredients company for Australia's largest food company.

The Burns Philp - Goodman Fielder saga continues with the news today that the Australian Competition & Consumer Commission has cleared the hostile bid from the Australian ingredients company for Australia's largest food company.

But the New Zealand authorities appear to be more problematic. In a statement today Burns Philp said that it has decided to again extend the closing date for the A$2 billion-plus bid to give the New Zealand Commerce Commission time to consider the transaction.

The bid, which is conditional on clearance from the NZ regulator, will now close on 5 March, two weeks later than previously planned. Burns also announced that a further condition, known as the Hart-Scott-Rodino (USA) condition, has also been satisfied with the bid not drawing any challenges from US regulators.

In addition, the Australian yeast company said that a further condition relating to a flour supply contract also has been satisfied.

As the tale continues, both companies await a ruling from Australia's Takeovers Panel in relation to Burns Philp's concerns about Goodman's target statement.

Last week Goodman Fielder announced the sale of the remaining gelatine plants - those not sold to German business DGF Stoess - to Belgian company PB Gelatin for €61million.