Just because you do not agree with something does not make you right. a2 does have a contract with Synlait to produce end product from raw materials (which is milk) which supplied by farmers who have supply contracts with a2. In other words a2 buys (pay for) milk from farmers who they have contract with and send that milk to Synlait who they have contract with for processing and canning according a2's technological requirements. Then takes the end product and sell it. If for some reason Synlait decides to exit that contract, a2 will send that milk to another processor who they would need to find in that case. Unfortunately that is not simple task as it would require to obtain new SAMR license as it's attached to processing and canning facility and this is one of the reasons why a2 has a strategic stake in Synlait and why a2 bought into MVM. So, Synlait does not own anything, it's just a processing plant who get paid exactly for that - processing and packaging.
Same with Fonterra. a2 does not license its name. It has a contract for processing and packaging the only difference the end product is pasteurized milk and not IF.
Saying a2 licensed their name to Synlait/Fonterra is like saying Apple licensed it's name to Foxconn to produce iPhones.
Takeover Speculation, page-245
-
- There are more pages in this discussion • 175 more messages in this thread...
You’re viewing a single post only. To view the entire thread just sign in or Join Now (FREE)
Add A2M (ASX) to my watchlist
 (20min delay)
|
|||||
|
Last
$6.52 |
Change
-0.040(0.61%) |
Mkt cap ! $4.713B | |||
| Open | High | Low | Value | Volume |
| $6.51 | $6.57 | $6.47 | $13.11M | 2.015M |
Buyers (Bids)
| No. | Vol. | Price($) |
|---|---|---|
| 3 | 37866 | $6.51 |
Sellers (Offers)
| Price($) | Vol. | No. |
|---|---|---|
| $6.52 | 6643 | 2 |
View Market Depth
| Last trade - 16.10pm 25/06/2024 (20 minute delay) ? |
| A2M (ASX) Chart |