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Coles Group's army of small investors could blame their board if the nation's second largest retailer was sold at a bargain price, a shareholder lobby group said yesterday.
The criticism by Australian Shareholders Association chairman Ian Curry follows the Coles board's re-endorsement of Wesfarmers' takeover bid, even though the offer considerably undervalues the company.
Curry said the independent expert's draft report - as summarised by the board - had noted there was no other offer for Coles.
Details of the draft report released on Wednesday said shareholders must choose between Wesfarmers' offer or a standalone, risky attempt to turn around the retailer's ailing fortunes.
"It's not a happy situation," Curry said. "What they're saying is: 'No one else is interested. As there's nothing else, you really better take it."'
Curry said the board had not been on top of the situation since last year when Coles first announced a five-year strategic plan to cut jobs and boost growth.
- AAP
