Overview of Olam Agri's takeover offer for Namoi Cotton

Namoi Cotton Limited (ASX: $NAM) has released the third supplementary bidder's statement, provided by Olam Agri Australia Pty Ltd, in connection with its off-market takeover offer to acquire all of Namoi's ordinary shares. The bidder's statement, dated 1 August 2024, supplements the previous statements and reflects Olam Agri's ongoing engagement with the ACCC and the extension of the offer closing date to 13 August 2024.

Executive commentary on Olam Agri's offer and engagement with ACCC

Olam Agri continues to engage with the ACCC, addressing potential concerns and proposing divestments to support its proposed acquisition of Namoi. The company encourages Namoi shareholders to await the ACCC's final decision, expected on 22 August 2024, before accepting any alternative offers. Additionally, Olam Agri reiterates the unanimous recommendation from Namoi's Independent Directors to accept its offer, highlighting the superior price per share compared to a competing offer. Furthermore, Samuel Terry Asset Management, Namoi's largest shareholder, intends to accept Olam Agri's offer, subject to certain conditions. Olam Agri has also obtained a substantial shareholding in Namoi and extended the offer closing date to 13 August 2024.

Summary of Olam Agri's takeover offer and outlook

Namoi Cotton's release of the third supplementary bidder's statement signifies Olam Agri's commitment to addressing regulatory inquiries and extending the offer closing date, reflecting the company's determination to proceed with the acquisition. The ongoing engagement with the ACCC and the unanimous recommendation from Namoi's Independent Directors further solidify Olam Agri's position. With the extension of the offer closing date, Olam Agri aims to provide shareholders with ample time to consider the offer. The company's proactive approach and the support from Namoi's largest shareholder indicate a positive outlook for the completion of the acquisition, subject to regulatory approvals and shareholder acceptance.