Andrew Forrest has called on federal regulators to stop JBS Group’s proposed takeover of Huon, one day after the board of the Tasmanian fishing business affirmed its support of the deal.
Andrew Forrest has called on federal regulators to stop JBS Group’s proposed takeover of Huon Aquaculture Group, one day after the board of the Tasmanian fishing business affirmed its support of the deal.
Huon yesterday confirmed Tattarang, which holds an 18.5 per cent stake in the business through Harvest Road, had submitted a non-binding and conditional indicative offer for the company that was lower than that made by JBS.
In a letter to shareholders sent yesterday, Huon chair Neil Kearney referred to Mr Forrest’s takeover bid and vocal criticisms of JBS Group’s environmental track record as “external noise” that did not provide Huon shareholders with the opportunity to secure proper value for their shares.
His letter also claimed Huon was the only seafood producer in Australia to achieve RSPCA approved farming certification.
In response, Mr Forrest was critical of Mr Kearney’s criticisms, saying his support for animal rights was not “noise”.
“JBS Group’s appalling track record on the treatment of animals is well and truly on the public record,” Mr Forrest said.
“Australians do not stand for animal cruelty and I stand with Australians.
“That is why the Australian government must intervene to stop the JBS Group taking over Huon.”
Mr Forrest also pushed back against Huon’s claim that JBS’s deal was materially higher than what was offered by Tattarang, saying it factored into its offer price several environmental improvements it strongly believed were necessary for sustainable salmon production.
“The first of these is an end to salmon farming in Tasmania’s Macquarie Harbour,” he said.
“Tattarang wanted to remove the pens from Macquarie Harbour where they are environmentally destructive, and have caused deep upset to the local community.
“Our offer was predicated on fixing the environment, focusing on production in deep water high current environments, or on land.
“We bought shares to continue to pressure future management to move the pens.
“When JBS Group appeared we doubled down as their global environmental, corruption and animal welfare record is well documented.
“We will continue the battle, and challenge JBS Group to adopt the same environmental strategy.”
Huon is schedule to release its full-year results to the ASX this Thursday.
Shares in the company were trading at $3.83 at 2pm AEST.
