Takeover Speculation, page-258

Well, I linked you a list of considerations for the national interest test above. A takeover deal could potentially be struck down on any number of those grounds. It is ultimately ministerial discretion, so politics will also factor in too.

Some of these considerations, like alignment with NZ values and interests, are quite broad but could easily cause issues for a company like Nestle or a Chinese company. For instance, Nestle does not exactly have the best environmental track record. I would also not underestimate the value of the A2 brand to NZ dairy globally. A brand is an asset. If there is a risk that the brand would be tarnished by foreign ownership, this poses a risk to NZ dairy more generally.

You are all debating the technicalities of who is contracted to do what in the relationship with Synlait etc. However, it is undeniable that Synlait remains highly reliant on A2M and the success of its brand, as does the level of demand for milk supplied by A2 farms.

If A2M's 20% stake in Synlait were transferred to another Chinese entity, this would take overall Chinese ownership of Synlait to a 60% majority. There is also the ownership of a major asset, MVM, that would be handed over as well. So that would be a controlling interest in two major assets being ceded to China.