Starboard Value has received "non-binding written indications of interest" for Smithfield Foods, the company said on Tuesday, indicating it would vote against a $4.7 billion offer from a major Chinese bidder.
In a letter to shareholders, Starboard said unnamed third parties have indicated a willingness to buy all of Smithfield's assets, "which in the aggregate imply a total value for Smithfield at a price substantially in excess of the $34 cash deal" put on the table by Shuanghui International Holdings, China's largest meat processor.
In the letter, Starboard —which owns 5.7 percent of Smithfield's shares and is one of the company's biggest shareholders — expressed its intent to vote against the Shuanghui deal.