It is being reported that legal action against the Overseas Investment Office could be on the cards as the race to buy the Crafar farms goes down to the wire.

There are just 12 days to go before the Receiver enforces a deadline for Chinese bidder Shanghai Pengxin to go unconditional on its offer to buy the 16 dairy farms currently in receivership.

A rival bid by a Sir Michael Fay-led group of Kiwi farmers and Iwi is understood to be close to announcing moves to injunct the OIO.

Shanghai Pengxin’s application for consent to buy the farms, for a figure widely reputed to be around $210 million, has been with the OIO for nine months.

The Fay group offer of $171.5 million, made later last year, was rejected by the receiver for being too cheap.

A Pengxin spokesperson is reported to have said  the company is confident of achieving the purchase, and Receiver KordaMentha is apparently sticking to its deadline.