Mr Peters said in a statement NZ First understood Lowe Corporation was undertaking due diligence on SFF's Fairton pelt house operation in a deal to sweeten the balance sheet before the Shanghai Maling joint venture.
Shanghai Maling intends injecting $261million into SFF for a 50% stake in the co-operative.
Mr Peters continued to label the 50:50 joint venture as a ''Chinese takeover''.
Disgruntled shareholders have forced SFF to hold a special meeting in Dunedin tomorrow to try to stop the deal but the SFF board will not be bound by any decision passed at the meeting. Subject to Overseas Investment Office approval, SFF is bound to complete the transaction with Shanghai Maling.
Mr Peters called on SFF to ''come clean'' about what was happening with its Fairton operations, outside Ashburton.
In response to an inquiry by the Otago Daily Times, SFF sent an email response quoting a spokesperson.
''All of our plants have been operational this season and, other than the announced decision to relocate venison processing from Islington to Pareora, due to our lease expiry, there has been no decision to do anything differently next season. As is appropriate, we will continue to periodically review the effectiveness of all of our plant network.''
Mr Peters said Fairton appeared to be out in the cold because the Islington venison operations were bypassing it for Pareora. In June, it was also announced Pareora would take over bobby calf processing.
''There's a clear agenda, given new working conditions and pay were put to Pareora's workers but not to Fairton's. According to what we have heard, Lowe Corporation is looking to take over SFF assets, similar to what's happening in the North Island.''
Hawke's Bay Today reported earlier SFF sold its Ahuriri hide processing plant to Lowe Corporate in March as part of a deal for Lowe to process the majority of SFF North Island hides. Seventy-six employees at the Napier plant were being consulted about mothballing, planned for the end of the peak kill season.
Lowe Corporation bought SFF's Shannon fellmongery last year, with the loss of 86 jobs there but 65 new jobs for Hawke's Bay.