PGGW offer rubbished by SFF

PGGW took a risk in August when it decided to go unconditional on the finance part of the deal before it had nailed it down. It was unable to raise the required money for the deal by the settlement date of October 1. Cooper said PGGW went unconditional on the finance part about August 17 when it sent out the offer documents to SFF farmer-shareholders. The SFF board would decide next week on the process to try to get a resolution and that included whether it would take the matter to court, Garden said. PGGW has suggested "formal mediation before a retired High court judge" and was asking SFF to agree to that. Wrightson said that, as well as offering $10m against the SFF claim, SFF would also benefit from the offer of an ongoing livestock procurement arrangement between the two. "The $10m provided for represents $3.5m for costs incurred by SFF and a further, ex gratia, payment PGGW has offered in addition to the substantial benefits to be provided by an ongoing procurement agreement." But Cooper spurned that, saying it was the commission- based livestock agency arrangement that the two companies had had for some time. "That's not adding value, that's still maintaining the clipping of the ticket model. That's not taking, as they say in the media release, the industry anywhere."