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

 


Royal FrieslandCampina lifts stake in Synlait Milk to 9.999%

Royal FrieslandCampina lifts stake in Synlait Milk to 9.999 percent buying shares at $3.85 apiece

March 20 (BusinessDesk) - Royal FrieslandCampina has lifted its stake in Synlait Milk to 9.999 percent from 7.5 percent, adding to an investment that has gained 41 percent since its NZX debut last July.

The Netherlands-based cooperative bought about 3.66 million shares at $3.85 each yesterday, according to a statement to the NZX. The shares last traded at $3.87, having sold in Synlait’s initial public offering last year at $2.20 apiece.

The purchase puts the Dutch company, where the current Fonterra chief executive Theo Spierings was a senior executive until 2009, ahead of Japan’s Mitsui & Co, with an 8.4 percent holding, as the second-biggest shareholder in the Canterbury-based dairy processor. China’s Bright Dairy Food owns 39 percent, having been diluted during last year’s IPO.

“Our working relationship with FrieslandCampina continues to develop,” chairman Graeme Milne said in a statement. “They have become both a valued customer and key strategic partner, alongside our other first tier multinational customers, and we view this announcement as a positive endorsement of the growth and performance of Synlait Milk."

In January, Synlait lifted its forecast milk price for the 2014 season to a range of $8.30 to $8.40 per kilogram of milk solids from $8. It also said net profit would be between $30 million and $35 million in the year ending July 31, up from the $19.67 million forecast in the company’s prospectus.

Chairman Milne said at the time that the company is benefiting from growth from its value-add products and a favourable product mix. Dairy products have helped drive New Zealand’s terms of trade to a 40-year high and made China the nation’s biggest export market.

(BusinessDesk)


© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Revenue Renewal: Tax Modernisation Programme Launched

Revenue Minister Todd McClay today released the first two in a series of public consultations designed to modernise and simplify the tax system. More>>

ALSO:

Scoop Business:
NZ Puts Seven New Oil And Gas Areas Put Up For Tender

A total of seven new areas will be opened up to oil and gas exploration under its block offer tendering system, as the New Zealand government seeks to concentrate activity in a few strategically chosen areas. More>>

ALSO:

Half Full: Dairy Payouts Steady, Cash Will Be Tight

Industry body DairyNZ is advising farmers to focus on strong cashflow management as they look ahead to the 2015-16 season following Fonterra's half-year results announcement today. More>>

ALSO:

First Union: Cotton On Plans To Use “Tea Break” Law

“The Prime Minister reassured New Zealanders that ‘post the passing of this law, will you all of a sudden find thousands of workers who are denied having a tea break? The answer is absolutely not’... Cotton On is proposing to remove tea and meal breaks for workers in its safety sensitive distribution centre. How long before other major chains try and follow suit?” More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news