Christopher Adams

The Business Herald’s markets and banking reporter.

Haier blasts F & P valuation

Photo / Paul Estcourt
Photo / Paul Estcourt

Chinese home goods giant Haier has taken a fresh swipe at the independent adviser's valuation of its takeover target, Fisher & Paykel Appliances.

In a document sent to the New Zealand firm's shareholders, Haier said earnings figures used in the valuation are higher than the most recent forecasts provided to the market by F&P Appliances.

"The earnings before interest and tax [ebit] in the first year [2013] of the five-year strategic plan used by the independent adviser is between $6.2 million and $14.2 million higher than more recent guidance provided to the market by Fisher & Paykel Appliances' own board," Haier said.

Independent adviser Grant Samuel valued F&P Appliances at between $1.28 and $1.57 a share - above the $1.20 per share Haier is offering for all shares in the New Zealand company it does not already own.

Following the release of the valuation F&P Appliances' board advised shareholders to reject the takeover offer.

Yesterday, Haier reiterated its comments from last week that the independent valuation was "overly optimistic".

The offer closes on November 6.

F&P Appliances shares closed unchanged yesterday at $1.23.

- NZ Herald

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