Foster’s, the Australian drinks group, has launched a A$3.1bn (£1.25bn) takeover bid for wine group Southcorp over the weekend.

Over the last few days Fosters has been in talks with representatives of Southcorp, and it has been attempting to seek Board support for the proposed takeover bid but no agreement was reached.

The company, which already owns the Beringer Blass portfolio of wine brands, bought a 19% stake in Southcorp last week for A584m (£237m) from Bob Oatley, the company’s deputy chairman.

Although Fosters therefore already holds a blocking stake in the company, analysts believe Southcorp may attract a rival bid, according to a report in today’s Financial Times.

Of other potential bidders, analysts predict that Allied Domecq would be the most interested in launching a bid as it has identified in the past that its lack of a significant Austalian wine business is a weakness in its portfolio.

Southcorp brands include Penfolds, Lindemands and Rosemount.