Originally Posted by
Snoopy
The assumption here is that the seeds sale will be 'value accretive' to all shareholders. Have you considered that the seed sale will 'save' Agria from their immediate cash problems, but be negative for shareholders in the medium term? After all former CEO's Mark Dewdney's 'One PGW' strategy was heralded as the way forwards at the time and it is unclear why this would have changed.
Another possibility is that although the two largest shareholders (Agria and Ngai Tahu) have rearranged their shareholdings to the extent that combined, they still hold the same combined percentage of shares as before the rearrangement exercise, something has changed. The seed business is no longer 'foreign controlled'. So now the Danish takeover means that the seed business will pass into foreign control from ostensibly NZ control. It could be easier for the OIO to turn down such a deal now, whereas before control was simply passing from one foreign owner to another.
SNOOPY