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Friday, February 18, 2011

Del Monte hires adviser to look for superior bids, (NYSE: DLM), (NYSE: KKR)

Del Monte Foods Co (DLM.N) said on Friday it hired Perella Weinberg to look for a buyer for the company who would be willing to pay more than its current $19 per share takeover pact from a group led by KKR and Co LP (KKR.N). Earlier this week, a Delaware judge put a 20-day delay on the shareholder vote for Del Monte's $4 billion takeover. The judge also enjoined the food company and private equity buyers from enforcing the merger's no-shop agreement. A no-shop agreement prevents Del Monte from soliciting other buyout offers. As a result of the judge's decision, Del Monte decided to hire Perella Weinberg "to proactively contact third parties who may be potentially interested in acquiring the company," the company said in a filing with the U.S. Securities and Exchange Commission.