THERE was recently good news for listed farmer and water trader Tandou: floods in the rivers of northern NSW flowed to the Menindee Lakes in the Lower Murray-Darling river system, which have made Tandou a more attractive target for Gary Weiss, the corporate raider and executive director of Guinness Peat Group (GPG).
GPG has launched a hostile $13 million offer for half the company, but it has so far gained little traction with shareholders, receiving acceptances for less than 1 per cent of Tandou's shares since it launched the bid nearly four months go, leaving GPG with a 20.07 per cent stake.
Weiss said for a third (and final) time that he was going to extend the 30ยข a share offer until February 15. He says he is looking to rationalise Tandou's various agricultural assets and return the cash to investors.
"Tandou is a company that has had a very poor track record in terms of delivering value to shareholders," he says.
"We think it needs a strong proprietary influence, which we see GPG providing, and the strategy we have in mind is that the company should continue to realise its assets and return the proceeds to shareholders."
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