SINGLE TRADE OF 29m SHARES, page-5

According to OZ EQUITIES Midday Report (just out), NFD has suggested that this morning's 10.1% buyer was "Danone of France".

If so, then the question would turn to who has sold out, as my earlier postings on this have speculated.

Elsewhere, AAP has just published the the following news item:

Other 05/Jun/2002 12:57:06

WELLINGTON, June 5 NZPA - New Zealand Dairy Foods is rumoured to be a possible buyer of a 10 percent stake in major Australian dairy company, National Foods.

Shares in National Foods surged to a near two-year high, after ABN Amro Equities crossed a major line of shares in what is Australia's only publicly traded dairy company.

"It was a very significant premium to market, 29-odd-million shares at $A3.50 ($NZ4.13). It looks to be a corporate line," said Wayne Nicholls, head of trading at BT Funds Management.

Market speculation about the likely buyer centred on New Zealand Dairy Foods, Italy's Parmalat and France's Danone.

Australian company Dairy Farmers, which owns 9.1 percent of National Foods, said it was not responsible for the crossing.

Fonterra, which owns 19 percent, was unavailable for comment.

Dairy Foods, a former Fonterra subsidiary, was also unavailable for comment. Half of the company was recently bought by Rank Group, the vehicle of Kiwi billionaire Graeme Hart, who launched a takeover bid for the other half owned by farmer shareholders.

Mr Hart is also the major shareholder in Australian ingredients company Burns Philp.

After the news, National Foods shares rose 11 percent, as much as 33 cents to $A3.40, the highest since June 30, 2000.

NZPA