Dairy disruptor The a2 Milk Company has forked out $148 million to build on its stake in New Zealand dairy processor Synlait.
The investment brings its stake in the NZ company - which supplies its A2 milk-based infant formula - up from 9.11 per cent to 17.39 per cent. The additional 8.3 per cent shareholding was bought from Mitsui & Co for $NZ10.90 per share.
“This investment in Synlait is consistent with The a2 Milk Company’s commitment to long-term supply arrangements with high quality partners such as Synlait Milk and Fonterra Co-operative Group,” a2 Milk's new managing director Jayne Hrdlicka said.
Hrdlicka, a former Jetstar CEO and Woolworths non-executive director, took up her role as a2 Milk MD and CEO on 16 July, taking over from Geoffrey Babidge. She is also the current non-executive president of Tennis Australia.
The a2 Milk board of directors pointed to Hrdlicka's “extensive experience in strategy formulation and execution, insight into customer-centricity and innovation”, and her “understanding of operating in a disruptive environment”, as key to the role.
