EBRO Foods has improved its $600 million offer for SunRice ahead of a vote to sell Australia's biggest rice producer to the Spanish group.
Ebro has extended purchase terms with growers from five years to seven years and has agreed to rollover the contract for a further seven years if there was no material adverse change to the business or regulatory conditions, according to The Australian Financial Review .
Growers will be paid the California benchmark rate for their rice. SunRice chairman Gerry Lawson said the revised conditions provided growers with greater certainty over the purchase of their crops and more certainty than the SunRice board could give them.
The sale has been delayed by two months, with a vot on the offer pushed back from March until May and an independent expert's review now due in April. Ebro needs 75 per cent accepatnces from the growers. Growers are expected to get an independent expert report in April.
SunRice is a brand under which NSE-listed Ricegrowers Ltd operates its business.
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