BULLETIN:ConAgra Prepares to Cancel Ralcorp Offer
ConAgra Foods will withdraw its latest $94-a-share offer for Ralcorp Holdings Inc. if Ralcorp does not enter into negotiations with it by Sept. 19, next Monday, ConAgra said in a statement Tuesday.
“If ConAgra Foods and Ralcorp are not engaged in a constructive dialogue satisfactory to ConAgra Foods by 5:00 p.m. Eastern time on Sept, 19, 2011, ConAgra Foods will withdraw its proposal,” the
Ralcorp rejected ConAgra’s latest bid August 12.
“Since August 12, ConAgra Foods has heard from many of Ralcorp's shareholders who are urging Ralcorp to enter into negotiations with ConAgra Foods based on the strength of ConAgra Foods' compelling $94 per share all-cash proposal. However, Ralcorp has continued to refuse ConAgra Foods' attempts to engage privately and hold a constructive discussion regarding the strong value, strategic logic and certainty of its proposal,” ConAgra said.
“ConAgra Foods continues to believe its proposal of $94 per share in cash provides present value in excess of what Ralcorp can achieve on its own, including through its announced spin-off plans,” ConAgra said.
Ralcorp has repeatedly stated it wants to remain independent and is spinning of its Post cereals unit as part of its attempts to rebuff ConAgra.