Satara, Seeka shares halted pending statements from the Kiwifruit growers

Monday 8th November 2010

Shares in Satara Cooperative and Seeka Kiwifruit Industries have been placed in a trading halt on the New Zealand stock exchange, pending a material announcement from the two fruit growers.

Seeka is listed in the main board of the NZX, and controls 26% of New Zealand kiwifruit crop, having bought out fruit packaging company Te Awanui Huka Pak for $24.2 million late last year. Shares last traded at $3.10 before the trading halt, and have lost 1.6% in value this year.

Satara, which is listed on the alternative index, announced in September that it was looking to merge with EastPack to form a wholly grower-owned company. Details of the deal, which are still pending, are expected in mid-November.

At the time merger talks were announced the companies issued a statement in which they said “securing grower ownership and control of strategic supply assets also complements industry evolution and our committed support to the global success of marketer, Zespri, and continuation of the single point of entry structure.”

Satara shares last traded at $1 before the trading halt, and have risen 42.9% this year.

Businesswire.co.nz

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