Tender offer period for Alaska shares extended

MANILA, Philippines - Dutch dairy giant Royal Friesland Campina’s tender offer for the remaining shares of Alaska Milk Corp. held by minority shareholders has been extended by 10 days.

“The request of Royal FrieslandCampina Investments Holding Co. Philippines Inc. for the extension of the tender offer period to acquire all remaining issued and outstanding capital stock of Alaska for 10 days has been approved by the Securities and Exchange Commission,” the company said.

Hence, the closing of the tender offer was moved to 12 noon of June 6, 2012 from May 23, 2012.

“There is no change in the tender offer price and all other terms and conditions of the tender offer,” Royal Friesland said.

After the tender offer, Alaska will be delisted from the local bourse in August or September this year.

On April 25, Royal Friesland, through its local unit, launched a tender offer for the remaining 31.48 percent of Alaska Milk held by minority shareholders.

The shares will be acquired at P24 each share, the same price offered to the Uytengsu family who used to own majority of the milk manufacturing firm.

After more than 40 years, the Uytengsu family relinquished control of the Philippines’ leading milk maker with the sale of 535.545 million shares, representing 61 percent of Alaska, for P12.857 billion.

The purchase boosted Royal Friesland’s stake in Alaska from only 8.1 percent to 68.9 percent. The purchase of more than 35 percent stake triggered the mandatory tender offer requirement.

Royal Friesland has presence in Thailand, Indonesia, Malaysia, China, Vietnam, India, Hong Kong and Singapore. It also produces and sells dairy products in the Middle East and Africa.

Royal Friesland also brings to the deal a portfolio of dairy products ranging from raw material ingredients to higher value-added products such as infant formula, cheese, butter and yoghurts.

Alaska has been the leading player in the Philippine milk industry for more than 30 years. It has also recently expanded into higher value-added milk products, particularly in the ready-to-drink milk category.

Its profits surged 44 percent to P362.6 million in the first quarter from P252.3 million a year ago due to higher sales volume and selective increase in selling prices.