Winston Peters calls Fonterra vote result 'utter madness'
New Zealand First leader and Foreign Affairs Minister Winston Peters has blasted Fonterra farmers shareholders for approving the sale of iconic brands to a French company.
The corporate ventures arm - provisionally named Nutrition Science Solutions (NSS) – will operate as a standalone business within Fonterra with its own board and chief executive officer.
It will have access to the co-operative’s dairy science and innovation expertise, combined with the agility of a startup.
Chief executive Miles Hurrell says the business will incubate and scale a portfolio of disruptive ventures by developing solutions that combine science, nutrition, and technology to make a real impact on human health.
Hurrell says Fonterra is committed to staying at the forefront of nutrition innovation and creating new value streams for the co-op.
“When we released our long-term strategy in September 2021, we identified nutrition science solutions as an area with future growth potential.
“Nutrition science is a segment of the global health and wellness category that goes beyond everyday lifestyle and wellness products. Given our expertise in dairy science, we committed to exploring the potential for Fonterra to play more boldly in this space.”
NSS will seek out, partner with, and invest in global start-ups who will benefit from access to Fonterra’s dairy science expertise and understanding of the global market, while Fonterra will benefit from access to emerging technologies, advancements in science, and novel channels to market.
Fonterra’s chief innovation and brand officer Komal Mistry-Mehta will sit on the NSS board with another Fonterra-appointed director. The search for a CEO is underway.
As part of NSS's investment in Pendulum, Fonterra will get a minority shareholding, which Hurrell says hasn't been worked out yet.
The growth-stage San Francisco-based company specialises in targeting metabolic health through evidence-based microbiome solutions.
The partnership will see Pendulum and Fonterra establish a presence in global markets, co-develop and commercialise next generation microbiome products that are scientifically formulated to make measurable improvements to people’s health.
“This strategic partnership will enable Fonterra and Pendulum to leverage each other’s strengths – Fonterra’s innovation, manufacturing expertise and established leadership in global markets, together with Pendulum’s deep innovation, microbiome expertise and growing leadership in the US market,” says Hurrell.
