The Chinese-led company that bid for the Kidman cattle empire had until today to respond to Treasurer Scott Morrison's concerns over the proposed deal.  And that response was to withdraw its $371 Million bid.

Last Friday, Mr. Morrison all but ruled out the sale to Dakang Australia Holdings by declaring it would not be in the national interest.  In a statement, S. Kidman and Company managing director Greg Campbell said that "faced with such tight timelines, withdrawing the FIRB (Foreign Investment Review Board) application and terminating the (bid) was the only option available".

That puts the Kidman family at odds with Morrison.  They are demonstrating "firm resistance" to breaking up the company.  But Morrison says the price may be too high.

"I have concerns that the form in which the Kidman portfolio has been offered - as a single aggregated asset - has rendered it difficult for Australian bidders to be able to make a competitive bid," the Federal Treasurer said last week.  "The size of the asset makes it difficult for any single Australian group to acquire the entire operation."

The Kidman company is Australia's largest private landholder, with 101,000 square kilometers of land and 185,000 head of cattle.