SINGAPORE, Sept 2 (Reuters) - Singapore-listed China Minzhong Food Corp Ltd, which has denied accounting issues raised by a short-seller, said its biggest shareholder is considering making an offer for the company.
China Minzhong said that if Indonesia’s Indofood Sukses Makmur Tbk PT, which has a 29.3 percent stake in the firm, makes the offer, it is expected to be announced later on Monday.
China Minzhong lost close to half its market value last week after California-based Glaucus Research published a 49-page report on accounting issues at the company.
Trading in China Minzhong’s shares was suspended. The company said on Sunday that it had completed a review of the report released by Glaucus and strongly refuted what it viewed as “reckless opinions” and “inferences” drawn by Glaucus.
Glaucus did not immediately respond to an email from Reuters about the denial, which was sent outside of office hours.
The market value of China Minzhong, which sells fresh and processed vegetables, fell to around $270 million in the wake of the Glaucus report. (Reporting by Anshuman Daga; Editing by Richard Pullin)