![The takeover tussle for Namoi Cotton keeps stretching out. File photo. The takeover tussle for Namoi Cotton keeps stretching out. File photo.](/images/transform/v1/crop/frm/32XghFRykTWK8psrWNhdBMC/ac24d6dd-90ae-40ca-b2d3-4f5b4402f70f.jpg/r0_150_2786_1884_w1200_h678_fmax.jpg)
Queensland Cotton's parent company has given Namoi Cotton shareholders another month to take up its takeover offer for the big ginning business.
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Olam Agri Australia's 70 cents a share bid for Namoi - the highest offer so far in the seven month takeover tussle - has been extended until July 16.
Olam initially launched its bid for Australia's biggest ginner in March with a dual offer of 59c as part of a scheme of arrangement to buy all Namoi' shares, or an alternative 57c off market play for at least 50pc of the stock.
The subsequent seesawing bidding war with Namoi's initial suitor, Louis Dreyfus Company, in April and May, pushed Olam's offer to a three cent off-market premium over the European farm commodities giant.
Louis Dreyfus recently extended its cheaper share offer closing date to June 21, but Namoi Cotton recommended shareholders accept Olam's price, unless a higher bid emerged.
Although Louis Dreyfus has picked up extra shares during the bidding war, taking its stake in Namoi to 18 per cent, Namoi Cotton directors have described the LDC's as an "inferior proposal".
The closing date for Olam's bid, which values Namoi at $145 million, was extended to take into account the past month's price bidding movements, with the Singapore-based agribusiness also leaving the door open for another extension in July if necessary.
![Olam has owned Queensland Cotton since 2007. File photo. Olam has owned Queensland Cotton since 2007. File photo.](/images/transform/v1/crop/frm/32XghFRykTWK8psrWNhdBMC/4789b5be-fb38-4434-8e46-7d7477378211.JPG/r0_0_4746_2697_w1200_h678_fmax.jpg)
Although Olam has owned the rival Queensland Cotton business since 2007, it has committed to maintaining the 61-year-old Namoi operation under its historic and reputed Namoi Cotton brand.
It also promised to invest in "growing the Namoi franchise profitability", saying acquiring Namoi fitted with Olam's strategy of strengthening its Australian cotton merchandising and ginning capabilities.
Namoi's gins, grain and cottonseed storage facilities, warehouses and access to rail transport, would be highly complementary to Olam's existing operations.
Namoi currently operates 10 gins in and three major warehousing sites in NSW and Queensland and classing business, while QC has nine gins between Emerald and Warren.