Golden Vale shares closed one cent lower at €1.46 last night, representing a 6.5 per cent premium to the price offered by Kerry Group. Dealers said the market continued to believe Kerry would have to a pay a higher price than the €1.37 offered to clinch a deal.

"There has been good two-way business in Golden Vale. People feel that there is a little bit more in it," said one trader.

A hefty 1.3 million shares in the Cork-based company changed hands yesterday, well above the usual volume in the stock. Turnover in the shares, which were mostly confined to a €1.45 to €1.50 band, was valued at €1.9 million.

Shares in Kerry Group eased slightly, to €13.45 from €13.51.