AUSTRALIAN brewer Foster's has rejected a $10 million offer from rival SABMiller for the second time. The company is being advised by Allens Arthur Robinson.
SABMiller announced last week it would go directly to shareholders to gain about half of Australia's beer market, with an offer of A$4.90 a share. But Foster's has announced the offer "significantly undervalues" the company. The high level of conditionality further detracts from the proposed offer, it said.
Foster's shares have since gone as highs A$5.25.
Foster's is being advised by Goldman Sachs, Gresham and Allens Arthur Robinson on the deal.
Foster's board is now advising shareholders to take no action and ignore all documents and communications from SABMiller in relation to its proposed offer.
Sydney-based partner Ewen Crouch and Melbourne-based capital markets group co-head Robert Pick lead the Allens team in this offer, as well as Foster's previous rejection of the SABMiller offer in June.