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Numico Shares Up on Talk of Interest from Danone

Source: Reuters
09/07/2007

Amsterdam/London, July 9 - Shares in Dutch food group Numico NV rose more than 8 percent to reach a six-year high on Monday, as traders cited market talk of interest in the company by French food group Danone.

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A report in France's Journal des Finances on Monday also noted Danone was interested in Numico, while other articles over the weekend cited interest from PepsiCo.

"It strategically works for both Danone or Pepsi. We see a takeout price of at least 55-60 euros," said a trader.

Danone declined to comment.

By 0800 GMT shares in Numico traded 8.3 percent higher at 43.3 euros.

Traders in Amsterdam also noted a private equity bid for fellow Dutch firm Univar on Monday had fanned recurrent talk that Numico might attract private equity interest.

Danone chief executive Franck Riboud said last week the company could be looking at mid-sized acquisition targets.

"We have targets, not the ones you are thinking about, they are mid-sized," he said.



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