Haier increased its offer price for the company's shares from $1.20 a share to $1.28 and announced that ACC, AMP, and Harbour Asset Management would accept the increased offer.
The acceptance by those three shareholders yesterday gave Haier nearly 52% of the company.
However, Craigs Investment Partners broker Greg Easton said he still did not believe that Haier would get to its 90% target holding.
"Only time will tell but I believe they will struggle to get to that level. This takeover has brought out the patriotism and pride in the company by shareholders. The company has been much more optimistic on its future than before. There will be people that have bought on the opportunity to make a quick dollar. But others will sit on their hands and watch it unfold," he said.
The rise in the offer price was significant as it was within the independent adviser's valuation range of $1.28 to $1.57 a share and a rise of nearly 7% on the original offer price, Mr Easton said.
FPA's independent directors changed their recommendation.
Chairman Keith Turner said he and the other independent directors - Philip Lough, Lynley Marshal and Bill Roest - recommended shareholders accept the increased offer.
Directors and senior offers who held shares in FPA had all confirmed they would accept the increased offer from Haier.
Haier New Zealand Investment Holding Company chairman Liang Haishan said the support of FPA's independent board to Haier's intended increased offer was valuable and it was important for Haier to proceed with the board's full approval.
"While we differ with the valuation provided by the independent adviser, we are pleased to indicate our intention to provide an increased offer price to within the valuation range. We feel this allows our offer to move forward on a positive basis."
The approach taken by ACC, AMP and Harbour Asset Management was a "clear signal" to the market of the strength of Haier's intended increased offer, he said.
Once it was varied to $1.28, the offer price would represent a 71% premium to the pre-offer price of FPA's shares.
"This will provide shareholders with both certainty and the opportunity to realise cash from their investment now, which is very attractive in today's economic environment," Mr Liang said.
Mr Turner said the directors acknowledged that some market commentators believed that should Haier's offer close without having reached 90% acceptances, FPA shares would trade lower than the increased offer price.
"Shareholders should consider Haier's increased offer in the context of their own circumstances and should consult their professional advisers."
Haier had previously said the FPA design operations in Dunedin would remain as part of FPA remaining as a standalone company led by local management.
Based in Qingdao, Shandong, China, Haier Group employs more than 80,000 people globally and distributes products in more than 100 countries and regions. It had global revenue of around $US23.3 billion ($NZ28.35 billion) in 2011.
At a glance
• Haier increased takeover offer to $1.28 a share
• Major shareholders accept the improved offer
• Haier gains control of FPA
• Will struggle to get to 90% acceptance
• Offer open until November 6
