MIAG's bid for a meat industry 'mega merger' has been rejected by Alliance Group Shareholders.
MIAG's bid for a meat industry 'mega merger' has been rejected by Alliance Group Shareholders.
KEY POINTS:
Alliance Group shareholders have overwhelmingly rejected a bid by industry lobby Meat Industry Action Group (MIAG) to force a merger with Silver Fern Farms.
Some activists have said farmers could gain better prices for their livestock if one company controlled 80 per cent of the red meat exports,reducing the incidence of NZ meat companies undercutting each other in key markets.
A special meeting of shareholders today voted by margins of 92.4 per cent and 86.3 per cent against forming an external committee with an independent chairman for the purpose of advancing the merger between Alliance Group and Silver Fern.
Alliance Group chairman Owen Poole said in a statement that recent months had been frustrating for the company with MIAG and another lobbyist, the Natural Products Company pushing for a stand-alone merger of the two co-operatives.
"This decision by shareholders today finally puts that issue to rest," he said.
There was opportunity now within the industry for "constructive dialogue towards forming a common view" for a better future, he said.
