KEY POINTS:
Meat processors Silver Fern Farms and Alliance Group have set dates for special meetings aimed at forcing merger talks between the co-operatives.
The Meat Industry Action Group gained the 5 per cent shareholder support needed to call the meetings and is seeking support for the creation of a
single farmer-owned co-operative.
Alliance planned its meeting for September 5 but the action group last week said it had asked the High Court to order Silver Fern Farms to call a meeting.
Action group chairman John Gregan said repeated requests for a date had been rejected.
"[The Meat Industry Action Group] is now forced to conclude that [Silver Fern Farms] are treating their shareholders with contempt," Gregan said last week.
Silver Fern Farms yesterday set a date of October 7 for the action group meeting.
Chief executive Keith Cooper said the company had already written to the action group saying a date would be set for the meeting.
"We were on a path to setting dates so we're a bit perplexed as to why they have taken the action they did."
The action group's case was due to be heard in the High Court at Wellington on Thursday.
Whether it went ahead was a decision for the action group, Cooper said.
Action Group chairman John Gregan could not be contacted yesterday. Meanwhile, Silver Fern Farms is to hold a separate meeting on September 8 to vote on a proposed partnership with PGG Wrightson.
Silver Fern Farms has agreed to sell half of the company to listed rural services business PGG Wrightson for $220 million, for which 75 per cent shareholder support is needed.
The PGG Wrightson deal was promoted as creating a pasture-to-plate supply chain and a platform for industry rationalisation.
Silver Fern chairman Eoin Garden said it was not appropriate to hold the action group meeting on or before the PGG Wrightson partnership vote.
"That is not to say the latter is not important. The board will be in a better position to comment on the issues to be considered in light of the outcome of the [PGG Wrightson] partnership proposal vote on September 8 and the Alliance Group shareholders' meeting on September 5 to consider the [action group] issues."
CRUNCH TIME
September 5: Alliance Group special meeting for shareholders, called by the Meat Industry Action Group, to build support for a merger with Silver Fern Farms.
September 8: Silver Fern Farms to vote on a proposed partnership with PGG Wrightson.
October 7: Silver Fern scheduled to hold special meeting for shareholders.
