(MENAFN- AFP) Global winemaker Treasury Wine Estates on Monday said takeover talks with two global private equity groups had ended, prompting a share price fall.
Treasury -- which owns major brands including Penfolds, Rosemount Estate and Wolf Blass -- last month said it had received non-binding proposals from Kohlberg Kravis Roberts and partner Rhone Capital as well as an unnamed rival suitor.
Both conditional proposals had suggested a price of Aus$5.20 (US$4.55) per share, which would have valued Treasury at close to Aus$3.4 billion.
"However, it is now apparent to the company that the bidders are not able to support a transaction on terms and at a price acceptable to the board," the company said in a statement.
Treasury said its major shareholders, whose combined holdings amounted to about 50 percent of shares, believed a price of $5.20 per share undervalued the company.
The company's shares dropped more than 10 percent on the news, but recovered slightly to end the day down 42 cents, or 8.54 percent, at Aus$4.50 in a generally falling market.
Treasury chief executive Michael Clarke said he did not think the suitors would sweeten their offers.
"I think it's over is my point of view," he said.
Treasury, which was spun off from Foster's beer business in 2011, has assets on three continents with more than 80 brands.
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