Wrightson stake sold

Silver Fern Farms says it has sold 10 million shares in PGG Wrightson on the market in a range between 73c and 79c a share.

Silver Fern Farms gave notice of an intention to sell some or all of its shares in PGG Wrightson a month ago. The notice was given under a settlement agreement between the two companies after a failed merger.

Under that settlement PGG Wrightson issued Silver Fern Farms 10 million ordinary shares ranking equally with existing shares. PGG Wrightson last year defaulted on a plan to buy 50 per cent of Silver Fern Farms for $220 million.

PGG Wrightson separately announced yesterday that Beijing-based Agria Corporation was becoming a cornerstone shareholder in PGG Wrightson.

Stockbrokers said the deal was conditional and investors remained wary until PGG Wrightson revealed the extent of its capital needs.

- NZPA