After consideration, Chiquita Brands International, Inc. confirmed Thursday it will decline the unsolicited cash offer the company received from the Cutrale Group and the Safra Group to acquire all outstanding common stock of the company at $13 a share.
Chiquita said its board of directors, in concert with its legal team and financial advisors reviewed the offer and determined the deal was inadequate and not in the best interest of Chiquita shareholders.
No information or negotiations will be shared with the Cutrale Group or the Safra Group at this time.
In March, the company entered into a merger agreement with Fyffes plc, under which Chiquita would combine with Fyffes in a stock-for-stock transaction. According to the company, upon completion of the transaction, Chiquita shareholders will own approximately 50.7 percent of ChiquitaFyffes, and Fyffes shareholders owning approximately 49.3 percent of ChiquitaFyffes, on a fully diluted basis.
Chiquita said it remains committed to completing this transaction with Fyffes.
With annual revenues of more than $3 billion, Chiquita is an international marketer and distributer of bananas as well as other fruits, salads and snacking products.