Australian Grains Champion withdraws proposal to corporatise the CBH Group

19.09.2016

The company behind a bid to corporatise Australia's largest exporter of grain, the CBH Group, has withdrawn its proposal.

Australian Grains Champion (AGC) formally withdrew its proposal today, with one of its backers in GrainCorp notifying the Australian Securities Exchange its $300 million deal with AGC was off, following advice from AGC.

In a statement, AGC grower director Brad Jones said feedback from growers had indicated that while CBH was performing its structural review they wanted "that process to reach its natural conclusion and that they are focused on the coming harvest".

"If CBH fails to meet growers' expectations, and there is a groundswell of growers prepared to fight for change, Australian Grains Champion may review its current position," Mr Jones said.

In a statement, GrainCorp managing director Mark Palmquist said the his company would continue to look for investment opportunities.

"We are particularly grateful to the growers and others involved in AGC for inviting us to participate in this opportunity, it is clear they are deeply passionate about the future of their industry," he said.

"We have consistently said that any decision on AGC's proposal should be one for Western Australian grain growers."


ABC

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