Managing director Stephen O'Rourke and board chairman Grant Davies started their schedule yesterday in South Australia and have further meetings for Koroit, Camperdown and Simpson in WCB's heartland today and tomorrow.

The co-operative has spent more than $12.3 million in the past week buying a foothold in the Allansford-based company. It told the Australian Securities Commission on Tuesday it had acquired seven per cent of WCB with 2.8 million shares.

It bought at least another 143,000 shares yesterday at $4.50 and there is speculation the co-operative would continue buying until it reached the 10 per cent cap.

This would put it in an influential position if another entity made a major raid after May next year, when the shareholding cap was lifted.

Legally the co-operative is now entitled to call for an extraordinary meeting of WCB shareholders to put its case to them and suggest removing the cap early, but observers said this was unlikely because it could be seen as an aggressive stance. After its latest formal offer to take over the company at $4.35 a share was rejected last month Murray Goulburn indicated it was still keen to push for a friendly merger, which it claimed would be in the best interests of south-west dairy farmers.

A co-operative spokesman said yesterday the visit by Mr O'Rourke and Mr Davies was part of a normal twice-yearly schedule to meet suppliers.

"They took the opportunity to catch up with WCB suppliers and shareholders to explain the benefit and logic of the recent proposal," the spokesman said.

The Australian Financial Review has indicated that other suitors could enter the picture.

Saputo of Canada which made an unsuccessful bid last year, WCB's joint venture partner Royal Friesland Campina, plus Fonterra and National Foods have been named as likely contenders.

WCB chairman Frank Davis reiterated the company's stance in a statement to the ASX on Tuesday when he said the Murray Goulburn offer was not appropriate value for the company's medium and long-term objectives and its position in the national dairy market.

He said there were "legitimate concerns" among supplier shareholders who comprised a significant proportion of the company's shareholder base.