Date£º
2014-09-28 13:19 Source£º
thedrinksbusiness Author:
Lauren Eads Translator:
Treasury Wine Estates (TWE) has received formal takeover offers from two private equity firms, according to the Australian Financial Review.
US firm Kohlberg Kravis Roberts (KKR) and TPG Capital, a private investment firm based in Texas, are both said to be offering around AU$5.20 ($4.57) per share.
KKR previously submitted a bid in May at $4.70 a share which was rejected prompting the firm to up its bid to $5.20, with TPG then stepping into the ring with a counter offer of the same value.
TWE's shares are currently valued at A$4.92 per share on the Australian Securities Exchange.
An agreement on this basis would represent a deal worth AU$3.4bn (?.88bn; $3.17bn).
Treasury Wine Estates, which is behind brands including Penfolds, Wolf Blass and other leading Australian wine brands, has been struggling for sometime and recently announced an impairment of over AU$200 million from its assets.
While the offer was announced in August, formal offers from both parties have now been accepted having completed "due diligence"requirements.