Minister Welcomes Australian Dairy Merger
28 April 2000
MINISTER WELCOMES AUSTRALIAN DAIRY MERGER
Agriculture Minister Jim Sutton said today that plans by the New Zealand Dairy Board (NZDB) and Bonlac Foods Limited to create the first major trans-Tasman dairy business was a significant expansion.
The proposal is subject to the parties completing due diligence, finalising commercial terms and to the approval of regulatory authorities.
Implementation of the alliance is dependent on approval by Bonlac’s supplier shareholders and the NZDB board of directors.
Bonlac is Australia?s second largest dairy company and second largest dairy exporter with total sales of $NZ1.5 billion.
Mr Sutton said the proposal was evidence the dairy industry is determined to give effect to its growth strategy.
"It is also a welcome assertion of leadership by the Dairy Board."