Major Shareholder Rejects Sazerac Bid to Acquire Berentzen-Gruppe AG

Aevum, a Swiss pension fund, said the Sazerac Co.'s price is too low and doesn't fully reflect the German distiller's value. The fund, which holds about 10% of the company, said it will not accept Sazerac's offer and added it is continuing to increase it stake in Berentzen.

Sazerac's bid is about 70% above Barentzen's share price before Bloomberg first reported the deal. But Aevum isn't the only entity to say the bid is too low. Analyst at Montega AG value Berentzen at about $7.86 a share. But they said the don't see short-tern price potential beyong the offer price and downgraded the stock to hold from buy.

For its part, Sazerac says its offer is compelling, called its bid "very attractive" and said Berentzen would gain a long-term family owner.