IAWS halts SWS talks, blames SWS shareholder friction
Food company IAWS (Irish Agricultural Wholesale Society) - soon to be One51 - has ended talks with the SWS group with regard to the acquisition of relevant parts of the group.
Discussion terms were agreed in June this year following the approval of both the SWS and IAWS Co-op boards.
IAWS said today's decision was forced after the company became aware that "some shareholders in SWS have reversed their previous support for the transaction and, in light of this development, IAWS Co-op has withdrawn its offer as it believes that the climate is not suitable for the successful conclusion and integration of the acquisition".
IAWS co-op chairman Mr Denis Buckley, said: “We are disappointed that, despite our significant efforts, a successful completion to the SWS transaction could not be achieved.
"Accordingly, we will now move forward and continue with the implementation of the IAWS co-op strategy of creating liquidity and additional shareholder value for the co-op’s members, as unanimously approved at our special general meetings in July.
"Significant progress has been made in the development of the IAWS co-op’s stated waste and energy strategy over the last 12 months with the acquisition of a significant stake in NTR Plc, the establishment of TechRec Ireland Limited (which will operate Ireland’s first automated plant to recycle waste electronic equipment) as well as the allocation of 11 million IAWS GROUP, plc shares to co-op members earlier this month.
"A number of additional investment opportunities in the waste and energy areas have been identified and are being progressed at present."
