A2M the a2 milk company limited

After seeing this exact same post over and over again, I have to...

  1. 4,852 Posts.
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    After seeing this exact same post over and over again, I have to say something: there's no takeover in the works and there never has been (with the exception of the 2015 one years back). Although I'm reluctant to say there never will be, I think people need to acknowledge that there are factors that work against it. And that it would not necessarily be the best thing anyway.

    A Chinese takeover would never be approved by the NZ government, as it would be struck down on the National Interest Test that was recently introduced.

    As for Western IF companies such as Nestle and the like, the A2 proposition directly contradicts the traditional A1-containing product range they offer. They all already offer their own A2 products, but the value of any sale growth these achieve is somewhat negated by the fact that they would largely come from cannibalizing revenue from their other products. Those rival products also don't sell as well because they are inherently constrained in the health and marketing claims they make (since these might imply that their A1-containing products have negative health effects).

    It would take a substantial shift in thinking and marketing emphasis to acquire a brand that basically says everything else we offer might be bad for you.

    This internal conflict within its other competitors remains a competitive advantage to A2M should it continue to go it alone. The only other avenue I could see for a takeover would be by an entity that is not already selling IF at all.
    Last edited by werdplaya58: 01/06/21
 
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