FCG
16/03/2015 15:54
GENERAL
PRICE SENSITIVE
REL: 1554 HRS Fonterra Co-operative Group Limited
GENERAL: FCG: Fonterra completes Beingmate Partial Tender Offer
Monday 16 March 2015
FONTERRA COMPLETES BEINGMATE PARTIAL TENDER OFFER
Fonterra Co-operative Group Limited today confirmed that it has completed the
partial tender offer and will acquire 18.8 per cent of leading Chinese infant
formula manufacturer, Beingmate Baby & Child Food Company Ltd. The
transaction will be closed in the next few days.
Chief Financial Officer Lukas Paravicini said the companies had earlier made
provision for the possibility of the Partial Tender Offer reaching slightly
less than 20 per cent.
"Our goal was to acquire up to 20 per cent. We are extremely satisfied and
confident that the partnership can and should proceed on the basis of the
18.8 per cent stake. It is a good result.
"Over the next few weeks, Fonterra and Beingmate will now move ahead with the
next phase of our partnership, which includes establishing a joint venture to
purchase the Darnum plant in Australia and finalising a distribution
agreement making Beingmate Fonterra's exclusive Anmum(TM) distributor in
mainland China," said Mr Paravicini.
Number of Beingmate Baby & Child Food Company Ltd shares on issue
(rounded):1,022 Million
Number of shares acquired by Fonterra(rounded):192.4 Million
Cost per share: RMB18./ share
Total cost excluding transaction fees(rounded):RMB 3,464 Million
Percentage of Beingmate Baby & Child Food Company Ltd shares gained by
Fonterra (rounded):18.8%
Last August, Fonterra and Beingmate announced that they intended to form a
global partnership to help meet China's growing demand for infant formula.
The partnership will create a fully integrated global supply chain from the
farm gate direct to China's consumers, using Fonterra's milk pools and
manufacturing sites in New Zealand, Australia, and Europe. It is intended to
increase the volume and value of Fonterra's ingredients and branded products
exported to China.
- ENDS -
For further information contact:
Daniel Wrigley
Fonterra Communications
Phone: +64 21 820 679
24-hour media line
Phone: +64 21 507 072
End CA:00261891 For:FCG Type:GENERAL Time:2015-03-16 15:54:59
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