Thailand: TUF suspends public offering over US antitrust probe

Thai Union Frozen Products yesterday abruptly announced the suspension of its preferential public share offering, citing an antitrust investigation by the US Department of Justice over its proposed US$1.51-billion acquisition of its US rival Bumble Bee Seafoods.

Only last week, TUF had announced it plan to raise almost Bt13 billion ($380 million) by offering new shares to existing shareholders to finance its planned purchase of Bumble Bee.

TUF confirmed in a statement yesterday that the DoJ is conducting an antitrust investigation of the packaged-seafood industry in the US. Tri-Union Seafoods, a subsidiary of Thai Union, operating in the US under the brand Chicken of the Sea, has received a subpoena requiring the production of relevant information to the DoJ.

“The board of directors of Thai Union believes it is prudent to await additional clarity on this investigation before proceeding with the preferential public offering announced on July 17. We have informed the Office of the Securities and Exchange Commission of the temporary suspension,” it said.

Full content: The Fish Site

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