Tuesday, 10 December 2019 07:55

Cheap Beingmate shares still on the market

Written by  Staff Reporters
Fonterra chief executive Miles Hurrell. Fonterra chief executive Miles Hurrell.

Fonterra has managed to sell only 1% of its stake in the troubled Chinese company Beingmate.

Chief executive Miles Hurrell says the co-op will continue to offer the shares on the Shenzhen Stock Exchange market.

Under the sharemarket rules it is only possible to sell up to 1% cent every 90 days directly on the exchange, or sell up to 2% in a single block every 90 days. 

Trades greater than 5% can be made to an individual party in an off-market transaction.

Hurrell says the co-op is also willing to sell a larger stake off market to any interested party.

Fonterra paid $750 million for its 18.8% shareholding in March 2015, in a bid to gain access to Chinese consumers for its infant formula.

Last year Fonterra wrote down the investment by $439m which helped lead to its first ever annual loss of $196m.

Hurrell says apart from Beingmate, the co-op is reviewing its China Farms and Brazilian joint venture with Nestle.

He expects a decision on both these investments this financial year.

More like this

A great outcome - Hurrell

Fonterra chief executive Miles Hurrell says the sale of the co-op’s consumer and associated businesses to Lactalis represents a great outcome for the co-op.

Featured

Poultry industry, Govt sign landmark biosecurity deal

The Government has struck a deal with New Zealand's poultry industry, agreeing how they will jointly prepare for and respond to exotic poultry diseases, including any possible outbreak of high pathogenicity avian influenza (HPAI).

National

Machinery & Products

» Latest Print Issues Online

Milking It

Dreams aren't plans

OPINION: Milking It reckons if you're National, looking at recent polls, the dream scenario is that the elusive economic recovery…

Fatberg

OPINION: Sydney has a $12 million milk disposal problem.

» Connect with Dairy News

» eNewsletter

Subscribe to our weekly newsletter