Don’t do anything. This is the advice manuka honey health company Comvita is giving to its shareholders following a $2.50 per share offer from Cerebos New Zealand, to take over the company.

Comvita chairman Neil Craig says shareholders need to sit tight for the next few weeks and wait for information from Comvita’s directors, and that the current offer is simply too low.

“Well we’ve just sent out another note yesterday actually to the shareholders saying just don’t do anything.

"The formal offer is not in the marketplace and it won’t be for another week.  So don’t be tempted by the share price going up.

"The share price is already above the offer from Cerebos of $2.50, so it’s now trading at $2.70, but don’t be tempted.”  

Mr Craig says directors will be sending shareholders a target company statement in the coming weeks which will make a recommendation on what to do, and it is vital they hold off accepting offer then.

He says Cerebos will be making a second formal offer to the market next week.

Cerebos New Zealand is the New Zealand wing of multinational Cerebos Craig’s whose brands include Raro drink powder and Caffe L’Affare.