Outcome of Society meeting

RNS Number : 6647L

Glanbia PLC

10 May 2010

 



Acquisition of Irish Dairy and Agri Businesses

not approved by Society Members

10 May 2010 - Glanbia plc (Glanbia), the international nutritional ingredients and cheese group, announces that at a meeting today of Glanbia Co-operative Society members the required majority of 75% needed to progress the acquisition of the Group's Irish Dairy and Agri Businesses was not achieved.  73% of the vote by members of the Society categorised as A1 and A2 and 72% of the vote by members of the Society who are milk suppliers were cast in favour of the acquisition. These are very strong results but did not reach the required majority threshold. The planned Extraordinary General Meeting of Glanbia plc on 25 May 2010 will not now proceed.

The Group will issue its Interim Management Statement tomorrow, Tuesday 11 May 2010.

John Moloney, Group Managing Director of Glanbia plc, said:

We believed this was a compelling and strategic opportunity for both the Society and the plc.  A lot of work has gone into bringing this proposal to the vote today.  We did not undertake this process lightly and of course, it is a big disappointment that it did not receive the necessary endorsement from the members of the Society to take the deal forward. While it is important for us now to take some time to reflect on this outcome, we remain very confident of the underlying strength of the Group's businesses.

From a personal perspective, I would like to thank the Glanbia staff who have worked extremely hard and given an enormous commitment to this process. 

As the transaction was progressing it has been business as usual for the plc and as announced on 20 April the Group is performing well and we expect to deliver good first half results. The operating environment has improved considerably and this is benefitting the Group's outlook for the year. Across Glanbia we continue to focus on strong cost management and on the ongoing rationalisation programme to achieve sustainable cost competitiveness, particularly in the Group's Irish businesses. 

The Board and management are fully committed to driving the business forward for all stakeholders. Glanbia is a strong organisation with excellent businesses both in Ireland and internationally, great people and a clear and consistent growth strategy.

Ends

Contact information

Glanbia plc  [phone] 
Siobhan Talbot, Group Finance Director

Geraldine Kearney, Group Communications Director

Murray Consultants

Pat Walsh + 353 87 2269 345/ [phone]

Hogarth (London)

John Olsen / Katie Hunt / Anthony Arthur + 44 207 357 9477

 

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