Talley's raises Affco holding to 37pc

By LIAM DANN

Talley's Fisheries has lifted its stake in meat company Affco to 37 per cent.

At a special meeting yesterday shareholders backed Talley's bid to buy an 11 per cent stake from Hugh Green Investments. It is already the largest shareholder with 26 per cent.

But an attempt to buy a further 4.6 per cent stake from Dairy Meats was blocked. Millionaire farmer Peter Spencer, whose Toocooya Holdings owns a 20.8 per cent stake in Affco, played a significant role in the outcome of the vote, choosing to support the Hugh Green sale but not Dairy Meats.

An independent report by Deloitte Touche Tohmatsu had indicated that Toocooya was not prepared to support Talley's lifting its stake beyond 40 per cent.

Under the Takeovers Code, if Talley's wanted to increase its stake it was required to make a general bid for at least 50 per cent of Affco unless the transactions were approved at a special meeting.