Namoi Cotton's takeover bid update

Namoi Cotton Limited (ASX:NAM) has received a third supplementary bidder's statement from Louis Dreyfus Company Melbourne Holdings Pty Ltd (LDC) declaring their off-market takeover offer for all of Namoi's ordinary shares unconditional. The offer, which represents a substantial 89% premium to Namoi's undisturbed share price, has fulfilled the FIRB Condition and been freed of all remaining conditions. Namoi shareholders who accept the offer will receive $0.67 per share in cash, providing a significant premium to the current share price.

Executive commentary on the takeover bid

LDC's $0.67 all cash offer, now declared unconditional, presents a compelling opportunity for Namoi shareholders. The offer's significant premium to the undisturbed share price and the removal of all conditions demonstrate LDC's commitment to the acquisition. Shareholders who accept the offer will receive their cash consideration within 10 business days following the valid acceptance. This offer provides cash certainty and eliminates the risk of exposure to potential future declines in Namoi's share price. LDC encourages all remaining Namoi shareholders to accept the offer before the closing date to avoid the uncertainties associated with the alternative conditional offer.

Summary of the takeover bid and outlook

Louis Dreyfus Company's third supplementary bidder's statement has declared their off-market takeover offer for Namoi Cotton Limited unconditional, providing a substantial 89% premium to Namoi's undisturbed share price. The fulfillment of conditions and the freeing of the offer from all remaining conditions demonstrate LDC's confidence in the acquisition. Namoi shareholders are urged to consider the cash certainty and the potential risks associated with the alternative conditional offer. The offer's closure on 13th September 2024 marks a crucial decision point for Namoi shareholders, who should carefully evaluate the benefits of accepting LDC's unconditional offer.