The statement was made while the shares were in a trading halt.
A2 shares fell 7% to 65c from 70c on strong turnover, ahead of the trading halt, and followed a 3c fall on Monday. After the statement, the shares came back on at 66c at time of writing.
In mid-June, the market was told that Sydney-based Freedom Foods and American company Dean Foods had provided an expression of interest in the company, but in its earning statement in mid-August a2 said it did not believe the expression to be compelling.
Today, a2 noted comment from Freedom Foods and Dean Foods that they had ceased detailed discussions in relation to a2. While there had been no formal withdrawal of the interest, a2 directors did not believe a takeover offer was imminent.
Freedom Foods was the biggest shareholder in a2 with an 18.5% stake. Freedom was controlled by the Perich family, who have significant dairy and other farming interests in New South Wales.
