CLEARLY CANADIAN TAKES ANOTHER CRACK AT SUN-RYPE
By Adnews Staff
Clearly Canadian of Vancouver will not leave Sun-Rype Products of Kelowna B.C. alone. The company has increased the pressure on Sun-Rype with an amended $40 million takeover bid. Two provisions were changed. Clearly Canadian will waive the condition that a minimum number of Sun-Rype class A and class B shares be tendered, and has extended the expiry date of the bid from yesterday to Aug. 19. Sun-Rype is controlled and 60% owned by the B.C. Fruit Growers Association. About 10 million class B voting shares trade privately among 1,400 fruit growers in B.C.'s Okanagan Valley. Late last month, the B.C. Fruit Growers Association rejected a $40 million takeover bid by Clearly Canadian because the offer wasn't high enough. The association also said there was a lack of synergy between the companies and there were concerns about Clearly Canadian's working capital. In addition, the offer was only for majority control of the company and Sun-Rype felt that would leave some shareholders in a minority position, holding a stock that would have little or no value. Sun-Rype was formed 50 years ago. Its biggest business is fruit juices, but it also makes dried fruits and granola bars. Clearly Canadian is also a juice marketer. Advertising for both companies is done by Palmer Jarvis Advertising of Vancouver.