| NEW YORK (Dow Jones)--Tate & Lyle (U.TAT) announced
Monday that while negotiations with the Rocky Mountain Sugar
Growers Cooperative regarding the cooperative's acquisition of
the Western Sugar Co. have been progressing, it has been
informed that RMSGC has experienced delays in securing bank
funding.
Consequently, Tate & Lyle and RMSGC have agreed to
extend the closing date to June 30. Tate & Lyle will
continue to assist RMSGC to complete this purchase on a timely
basis.
In a telephone interview Monday from Utah, Randon Wilson,
an attorney with Jones Waldo PC who represents the growers,
told Dow Jones Newswires the cooperative hasn't received a
complete appraisal for the properties involved, which has
delayed the group from securing the financing it needs.
Wilson said the purchase price is $78 million, which
includes six sugar beet factories; two located in Colorado,
two in Nebraska, one in Wyoming and one in Montana.
Tate & Lyle said earlier this year it is also trying to
sell its Domino Sugar refinery in New York as part of its plan
to unload non-performing assets.
-By Marvin Perez, Dow Jones Newswires; 201-938-2031;
marvin.perez@dowjones.com |