Ann: Acquisition of 70% of Australian Infant Formula Manufacturer, page-431

I have read all the 200+ comments on this post. If anyone has owned A2M, WHA, BAL since inseption, I mean when A2M has 0.40 cents, then those people will know the whole infant formula story.

CNCA - This is the certificate provided under SAMR authority in China to produce Infant Formula. This company how owns the CNCA certificate can nominate 3 infant formal products for each company, total 3 companies.

SAMR - This was formerly called CFDA till January 2019. From February 2019 it got converted to SAMR. SAMR certificate is given to the infant formula products of a company, now how do one get SAMR certificate.

1. Manufacturing company who produces infant formula and is CNCA certified will lodge the SAMR application on behalf of the company who owns the Infant formula. An example is Synlait has applied on behalf of A2M to get the infant formula certified, this process used to take 6 to 8 months. A2M got it long time ago when it was called CFDA.

2. Company who owns Infant Formula brand has to have atleast 5% stake in the manufacturing company who makes infant formula.

2. Current scenario only 1 or two manufacturing companies who are CNCA certified has received SAMR approval one of them is Viplus. WHA, BAL, BUB all are all waiting for their SAMR approval. An example right now is WHA, WHA bought 5% stake in Blend and Pack in July 2017 and then Blend and Pack applied to CFDA in November 2017, if anyone remembers WHA was $2 to $2.77 a share at that time. Since November 2017 everyone is waiting, in Jan - Feb 2019 CFDA got converted to SAMR. Now in November 2019 it will be 3 years since they have lodged the application. Some people who are saying that ANMA has SAMR then that SAMR is attached to a Infant formula brand not to ANMA. ANMA is just a CNCA certified manufacturer.

3. WHA share price is now sitting at 45 cents from high for $2.77 If anyone gets the certificate then it will be WHA first then BAL, BUB has not even lodged their SAMR application yet.

I am not saying that this deal is good or bad, above is the process to receive SAMR certificate. China is not providing SAMR certificate to Australian companies. A2M got it because they are a New Zealand company listed on ASX. If anyone say that JAT has contacts etc etc, then look at WHA. Blend and Pack is owned by Masons Group, Surely Mason group has huge contact base compared to JAT. Why they could not do anything and now Mason Group is selling Blend and Pack to WHA.

Please do your research, all the people who bought WHA at very high price thinking that will become next A2M are now in a huge loss. It's a very very very long road untill JAT will receive SAMR certificate. Currently there is no time line on when SAMR gets approved.

I have a very small portion in JAT because I know what has happend to other companies. BAL was $16 at one point and went down to $3 now it has recovered but BAL products do sell in Australia so they are good in a way.

This is AIMO. DYOR guys.