American firm Seabord eying flour miller Unga Group say they will continue to pursue the takeover bid despite losing out in its initial bid.
The firm is set to call a special meeting where it says its agenda is to delist Unga Group from the Securities exchange will be pursued.
“It remains the intention of Seaboard to proceed with its proposal to seek a delisting of the company from the Nairobi Securities Exchange at an extraordinary general meeting to be convened in due course,” the firm said in a notice on Friday.
The bid by the Americans was thwarted after some shareholders declined the Sh40 per share offer with claims that it was worth Sh67 each.
The so-called activist shareholders even bought up more share in the open market rallying it from Sh29.25 on February 7 when Seaboard made its intentions known to highs of Sh43 in the following weeks.
In what may be read as a bid to nip the rally beyond the offer price the firm’s stock was suspended from the market in what the market regulator Capital Markets Authority called a halt, before resuming trading.
CMA also gave the Americans 10 more days to try and convince more shareholders to sell.
Last week, the NSE gave the firm which has been suspended since July 2, an extra two days of suspension to conclude the transfer of shares bought by the US conglomerate Seaboard Corporation in its unsuccessful takeover bid for the firm.
The market may be reading that the firm, which is owned by the family of the late Philip Ndegwa, a former Central Bank governor through Victus which owns 50.93 percent, is being treated with kids gloves.
Mr. Ndegwa’s son James Ndegwa is the regulator’s chairman.