Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 

Dairy Companies announce joint venture

MEDIA RELEASE

16 May 2005

Dairy Companies announce joint venture

Fonterra Co-operative Group has concluded an agreement with South African dairy company Clover Industries Ltd which will see the two companies together explore dairy ingredients-related opportunities in sub-Saharan Africa.

The agreement, approved on May 13 by South Africa’s Competition Tribunal, allows the formation of a joint venture company, Clover Fonterra Ingredients (CFI), to handle the marketing of bulk dairy ingredients, carry out contract ingredient manufacturing, and supply food service products to nominated quick-service restaurants throughout the sub-Saharan region.

The new Company will be headed by Clover executive Pieter Uys. Mr Uys will report to a board of directors, made up of Fonterra and Clover executives. The new Company will employ all existing Clover and Fonterra staff directly involved in the businesses being joined to create CFI.

Fonterra (South Africa) General Manager Malcolm Tweed said CFI will deliver customers a broader product range with greater security of supply and an enhanced product development capability. The integration of Fonterra and Clover’s manufacturing and supply chain processes will play a big part in achieving this.

Joint ventures and similar business partnerships were an important part of Clover’s overall strategy, said Clover CEO Robert Wesseloo. Combining the complementary strengths of Fonterra’s international supply base and Clover’s strong regional platform would benefit the shareholders of both companies.

About Clover

South Africa's largest dairy company and one of the leading manufacturers and marketers of food products in Southern Africa, Clover is well-known for its quality branded products. Clover processes some 30% of South Africa's milk, predominantly for the retail market. The company also trades in commodities such as bulk-packed milk powder and butter. The Clover Group is owned by about 800 supplier shareholders and employs more than 6,000 staff. It last year posted annual revenues of R3.8 billion.

-Ends-

© Scoop Media

 
 
 
Business Headlines | Sci-Tech Headlines

 

Voluntary Administration: Renaissance Brewing Up For Sale

Renaissance Brewing, the first local company to raise capital through equity crowdfunding, is up for sale after cash flow woes and product management issues led to the appointment of voluntary administrators. More>>

Elsewhere:

Approval: Northern Corridor Decision Released

The approval gives the green light to construction of the last link of Auckland’s Western Ring Route, providing an alternative route from South Auckland to the North Shore. More>>

ALSO:

Media Mega Merger: Full Steam Ahead For Appeal

New Zealand's two largest news publishers have confirmed they are committed to pursuing their appeal against the Commerce Commission's rejection of the proposal to merge their operations. More>>

Crown Accounts: $4.1 Billion Surplus

The New Zealand Government has achieved its third fiscal surplus in a row with the Crown accounts for the year ended 30 June 2017 showing an OBEGAL surplus of $4.1 billion, $2.2 billion stronger than last year, Finance Minister Steven Joyce says. More>>

ALSO:

Mycoplasma Bovis: One New Property Tests Positive

The newly identified property... was already under a Restricted Place notice under the Biosecurity Act. More>>

Accounting Scandal: Suspension Of Fuji Xerox From All-Of-Government Contract

General Manager of New Zealand Government Procurement John Ivil says, “FXNZ has been formally suspended from the Print Technology and Associated Services (PTAS) contract and terminated from the Office Supplies contract.” More>>