Guinness Peat Group's board has been locked in discussions under efforts to save its $1.4 billion proposed demerger.

The board meeting, which has been scheduled for weeks, comes three days after New Zealand-based director Tony Gibbs issued a statement saying the demerger of the group's Australian assets should be abandoned because it did not have investor support.

The remaining board, which is chaired by Sir Ron Brierley, is reported to be angered by Mr Gibbs going public with his views.

Australian-based executive director Gary Weiss recently visited New Zealand to discuss the proposal with investors and was due to give feedback to the board at tonight's meeting.

The company's latest statement to the Australian Securities Exchange suggested that GPG, which is also listed in Britain and New Zealand, was interested in pushing through with the demerger. Considering that a variety of responses had been received, the company said it was "objectively reviewing shareholder feedback before considering what modifications, if any, should be incorporated into the proposal".

In an obvious blow at Mr Gibbs, GPG emphasized that the proposal had been "unanimously approved" by the board.

Mr Gibbs said last week that he had previously outlined his preferred approach for GPG and had pointed that out to the board in the past few days.
"However previously, rather than take a firm stance against my colleagues, I supported presenting the demerger proposal openly to shareholders to determine whether it was in fact a strategy that would be supported," he said.
"Following the announcement, it has become very clear to me that the GPG Australia demerger proposal does not have the support of many of our shareholders and would not succeed."