Thai Company Preparing Birds Eye Bid

[AbeSurd]

This is the way the world turns now? Older Brits everywhere will remember those annoying Captain Birds Eye television adverts....

"Thailand's food, telecommunications and retail giant CP Foods may be preparing a bid for Birds Eye that would value the fish finger producer at £2.5bn...

"Iglo Group, which owns Birds Eye as well as Findus in Italy, appointed Credit Suisse to kick-start an auction in March after receiving a number of unsolicited takeover approaches.

"The company, which was previously bought out of Unilever by Permira five years ago, has since seen interest from private equity investors Blackstone and BC Partners, but The Sunday Times reports this morning that Bangkok-based CP Foods is preparing a takeover. First round bids were submitted on Friday.

"In April Iglo posted a 7pc growth in EBITDA during 2011, prompting chief executive Martin Glenn to proclaim last year as the "best year yet". It had previously registered 8pc profit growth during every year since 2008.

"CP Foods was founded as a seed retailer catering for farmers but has diversified into telecommunications, food production and retail and now employs more than 200,000 staff. It is listed on the Stock Exchange of Thailand.

"CP Foods was unavailable for comment."

http://www.telegraph...ds-Eye-bid.html

PS: I wanted to post this in the Thailand News forum but the TV software prevents me for some reason.

[chickenslegs]

If this means we will be getting Bird's Eye cod fishcakes in Thailand then I say "Aye-aye Cap'n"

[Semper]

Yes, and....

[Goshawk]

decent fish fingers coming to Thailand ?

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shiver me timbers Cap'n.. where ya been all this time.

[thequietman]

If this means we will be getting Bird's Eye cod fishcakes in Thailand then I say "Aye-aye Cap'n"

what ya talkin about ? we've has fishy fingers in Pattaya for years now.

[MrMuddle]

While not wishing to be regarded as a member of the forum's language police, it should be noted that the correct pronounciation in Thailand is "fitt fingerrr".

Personally I always thought of Captain Birdseye as a bit of a Gary Glitter type, one old man at sea with a bunch of kids hmmmm.

[astral]

Sound like there is strong support in LOS.................

[mca]

I notice that Findus have a factory in Thailand for export. Selfish bastards ought to start dumping a few cases of crispy pancakes in a Lotus Express round my way.

[LennyW]

The UK's biggest chicken producer, Grampian Country Foods, already bases it's operation here so why not Findus.

[bendix]

Yet another example of the shift of economic and business power from west to east: and people still complain that the Baht is artificially high.

Thai companies acquiring western assets through strategic M&A is rising rapidly, and the targets are wide and varied.

[apetley]

Yet another example of the shift of economic and business power from west to east: and people still complain that the Baht is artificially high.

Thai companies acquiring western assets through strategic M&A is rising rapidly, and the targets are wide and varied.

I would love to know if CP would be so keen on the buyout if they were only allowed a 49% stake.

[DP25]

If this means we will be getting Bird's Eye cod fishcakes in Thailand then I say "Aye-aye Cap'n"

I hope so but I don't know if they will. In America I can buy all kinds of different flavors of canned fish that are manufactured in Thailand but they don't sell any of them here, all they seem to sell is fish in tomato sauce and fish in chili sauce. Chicken of the Sea is another seafood brand that is owned by Thais but I've never seen any of their products in Thailand.

[samran]

Yet another example of the shift of economic and business power from west to east: and people still complain that the Baht is artificially high.

Thai companies acquiring western assets through strategic M&A is rising rapidly, and the targets are wide and varied.

I would love to know if CP would be so keen on the buyout if they were only allowed a 49% stake.

Nothing to stop a BOI endorsed company getting 100% in Thailand.

[bendix]

Yet another example of the shift of economic and business power from west to east: and people still complain that the Baht is artificially high.

Thai companies acquiring western assets through strategic M&A is rising rapidly, and the targets are wide and varied.

I would love to know if CP would be so keen on the buyout if they were only allowed a 49% stake.

CP - and any other foreign entity - has to go through rigorous regulatory approval to acquire UK assets, and most countries have similar foreign direct investment rules.

As samran says, it is perfectly easy for overseas companies to acquire 100% stakes in Thai companies provided they have Board of Investment approval, and the BOI regulations are remarkably relaxed compared to most countries in this part of the world. In fact, accordign the International Finance Corporation, Thailand's FDI rules are the 12th most flexible in the world, and second only to Singapore in South East Asia.

[edwinchester]

If the parties were reversed I for one would be very surprised if it were possible for Birds Eye to buy a controlling influence of CP.

[samran]

If the parties were reversed I for one would be very surprised if it were possible for Birds Eye to buy a controlling influence of CP.

No need. Primarily because Mr CP and sons are doing quite well, there is no need to sell it down.

From memory though, they are quite happy to work with local owners in places like Indonesia and China, where they have substatinal interests.

Plenty of other companies, such as Banpu, are happy to do the same.

[bendix]

If the parties were reversed I for one would be very surprised if it were possible for Birds Eye to buy a controlling influence of CP.

There are no restrictions on foreign entities acquiring controlling interests in Thai companies, providing they satisfy normal regulatory approval and are not prohibited or restricted under the Foreign Business Act.

Given CP's group varied business operations, some of their businesses would be restricted; others wouldn't.

[kblaze]

As the purchase would make up almost half of CPF's assets...it's very unlikely. Just too big and the company is already doing well. The company denied they were interested this morning after the telegraph story came out (but thats not unusual) However it would seem more likely if they could negotiate down to a better price