Chiquita has rejected a takeover bid from Cutrale Group and Safra Group, saying it will continue with its planned merger with Fyffes.
“Chiquita has determined not to furnish information to, and have discussions and negotiations with, the Cutrale Group and the Safra Group at this time,” the company said in a statement.
It is understood that Chiquita felt that the Cutrale/Safra bid was "inadequate" and not in the best interest of shareholders, despite the companies valuing Chiquita at 29% more than its current share price.
Cutrale and Safra 'expressed disappointment' at the news, saying "Since the announcement of our proposal, the market clearly has recognized that our proposal provides greater and more certain value to Chiquita's shareholders than the previously reported Chiquita-Fyffes transaction. Chiquita shareholders' best interests are served by the Chiquita Board engaging in discussions with us.
"We have also made it clear that, if we are able to have prompt discussions with Chiquita and undertake due diligence, we would fully expect to complete our proposed transaction no slower than the timeframe that the Chiquita Board has announced for the Chiquita-Fyffes transaction."