Takeover Speculation, page-76

It makes sense from a commercial perspective given they haven't done so well in China - it gives them a foothold in that market without having to risk their own products becoming a total failure. Despite short-term headwinds, China as a market is a gigantic opportunity to be a part of; given the growth in middle-class and their preference for IF over breast feeding. Not to mention China currently makes up 50% of total IF sales worldwide. On top of that, A2 is growing its footprint in the US and having success - at least compared to overall milk sales. The kicker for me is the transition to A2 milk as a category, which is still in its infancy. They know that competing with A2 will always be an uphill battle, so why not take them out while the valuation is somewhat fair? Happens all the time in business.