A2 Milk has finalised its acquisition of the integrated nutritional manufacturing facility located in Pokeno, New Zealand. The acquisition includes two China label infant milk formula registrations, a key strategic asset for the company. A2 Milk is a dairy nutrition company focused on products containing only the A2 type of beta-casein protein. The company aims to provide nutritional solutions and cater to consumers with specific dietary needs.
Chief executive David Bortolussi said full ownership of the Pokeno facility provides the company with strategic control over the crucial China label registrations. A2 Milk intends to relaunch its branded products under these registrations within the next 12 to 18 months. The company is also pursuing potential access to a third registration slot, pending regulatory approvals in China. Currently, the Pokeno facility produces A2 Milk’s English label products, including a2 Gentle Gold and a2 Genesis.
Chair Pip Greenwood stated that the acquisition represents a significant milestone in A2 Milk’s ongoing supply chain transformation. Furthermore, it clarifies future capital expenditure requirements for the company.
The acquisition positions A2 Milk to return substantial value to its shareholders through a planned $300 million special dividend. This dividend is contingent upon regulatory approvals and the successful completion of the divestment of MVM. This strategic move underscores A2 Milk’s commitment to optimising its operations and delivering returns to its investors.
