The boss of US food giant Archer Daniels Midland says it is disappointed with federal treasurer Joe Hockey’s decision to reject its 100 per cent takeover bid for GrainCorp.
ADM chief executive Patricia Woertz said the proposed $3.4 billion takeover of GrainCorp was in the best interests of Australia’s grain growers and its economy.
“We are disappointed by this decision,” she said in a statement on Friday.
“We are confident that our acquisition of GrainCorp would have created value for shareholders of ADM and GrainCorp, as well as grain growers and the Australian economy.”
Ms Woertz said ADM would work with GrainCorp to maximise the return from its 19.85 per cent stake in the company.
Announcing his decision on Friday morning, Mr Hockey said GrainCorp handled 85 per cent of Australia’s bulk grain exports and the proposed foreign takeover was not in the national interest.
“For me to reject this proposal, I had to determine that the acquisition of GrainCorp by ADM is contrary to the national interest,” he said.
“Based on all the available information, I have now made that decision.”