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Tuesday, October 21, 2014

Chiquita should weigh alternatives to Fyffes deal -Glass Lewis, (NYSE: CQB)

Shareholders of Chiquita Brands International Inc. should consider alternatives to a proposed merger with Irish produce firm Fyffes Plc, proxy advisory firm Glass Lewis said on Tuesday.Brazilian juice maker Grupo Cutrale and investment firm Safra Group joined together to make an all-cash bid of $14 for each Chiquita share, valuing the company at about $658 million, but Chiquita's board rejected the offer.Shareholders are set to vote on Fyffes' revamped all-stock offer of $11.80 per Chiquita share at a special meeting on Oct. 24.Glass Lewis said Chiquita's board "continues to rely primarily on assumptions-driven analyses" of the combined entity's net present value.

Chiquita Brands International, Inc. (CBII), along with its subsidiaries, is an international marketer and distributor of bananas and other fresh produce, sold under the Chiquita and other brand names in 70 countries, and packaged salads sold under the Fresh Express and other brand names primarily in the United States. Shares of CQB traded higher by 1.6% or $0.205/share to $13.00. In the past year, the shares have traded as low as $9.24 and as high as $14.43. On average, 678174 shares of CQB exchange hands on a given day and today's volume is recorded at 165958.