"financially inadequate and highly conditional," Wilson Foods Corp.
officials switched positions Tuesday and said they were willing to
sit down with Doskocil Companies Inc. to discuss a friendly merger.
Doskocil is a Hutchinson, Kan., specialty meat supplier that in
late July extended a $12.50 per share, $115 million offer for any
and all of Wilson's 10,000,000 outstanding shares. Doskocil already
owned about 9 percent of the company worth an estimated $10 million
when it announced the tender offer.
Wilson board members rejected Doskocil's offer on Aug. 9, but
Tuesday they apparently changed their minds after Doskocil announced
it may reduce its offering price if not enough Wilson common stock
is tendered to their acquisition corporation.
Wilson, after earlier pleading with shareholders not to tender
any stock, said it would treat Doskocil as it is treating other
companies that are interested in acquiring a piece of the Oklahoma
"Consistent with discussions taking place with other interested
parties," Wilson officials said in a prepared statement, "Wilson
Foods today has informed Doskocil Companies Inc. that Wilson Foods
is willing to meet and discuss the possibility of an improved offer
that would lead to a friendly negotiated transaction."
Last week, Doskocil said it learned Wilson was negotiating with
Tyson Foods of Arkansas and ConAgra of Nebraska for a sale of its
Marshall, Mo., hog slaughtering plant and Wilson's subsidiary,
Fischer Packing Co.
Earlier Tuesday, Doskocil officials accused Wilson's management
of "playing cute little games" with Doskocil as time ran out on the
David Smoak, Doskocil's spokesman, said his firm was considering
alternatives in case not enough stock is tendered to allow Doskocil
to effect a takeover of Wilson.
The offer was set to expire at midnight Tuesday, but Smoak said
Tuesday afternoon that it could be extended or Doskocil may make
another offer to Wilson's shareholders, but at a reduced price per
In over-the-counter trading Tuesday, Wilson's stock closed at
$12 3/8, unchanged.
Smoak also said Tuesday that Wilson officials "walked a gray
legal line" by first blocking and then delaying the release to
Doskocil of Wilson's shareholder list.
Doskocil was supposed to receive it within five days of
requesting it, Smoak said, but after the firm made requests last
week for the list, Wilson didn't turn it over until Monday, giving
the Hutchinson supplier only 24 hours to contact Wilson's