LDC, the Australian arm of global agribusiness Louis Dreyfus Company, has increased its offer for Namoi Cotton to 77 cents per share, a 9-cent rise from its previous bid and 2 cents higher than Olam Agri's best offer. Following a shift in support to Olam Agri on September 20, Namoi's independent directors have now recommended that shareholders accept LDC's revised proposal.

Samuel Terry Asset Management, Namoi's largest shareholder, has also expressed its intention to accept LDC's offer, which would elevate LDC's ownership stake in Australia's largest cotton ginner to 47.66%. Namoi's executive chairman, Tim Watson, along with other independent directors, has sold all their shares to LDC, collectively holding about 4.89 million shares out of a total of 205.3 million.

Olam Agri has announced it will not extend its takeover offer for Namoi, which is set to expire on October 8. Ashish Govil, managing director of Queensland Cotton and head of Olam Agri Australia, reaffirmed the company's commitment to investing in Australian agriculture. He emphasized that their interest in acquiring Namoi Cotton reflects Olam Agri's dedication to the sector and acknowledged the competitive process that allowed Namoi to achieve a fair valuation.

Additionally, Olam Agri has terminated its off-market share purchase agreement with Samuel Terry Asset Management to acquire a 9.99% stake in Namoi, reducing its voting interest to 8.24%.

LDC's offer is unconditional and has received backing from the Foreign Investment Review Board and the Australian Competition and Consumer Commission (ACCC). The offer is set to close at 7 PM on October 9.

In summary, LDC appears poised to secure ownership of Namoi Cotton, bolstered by the support of key shareholders and the board, while Olam Agri shifts its focus away from the acquisition.