Fonterra acquisition best deal for all

The conditional agreement for Fonterra to buy the milk processing assets of New Zealand Dairies Limited (In Receivership) (NZDL) provides the best deal for all company stakeholders, say its receivers Colin Gower, Stephen Tubbs and Brian Mayo-Smith of BDO Chartered Accountants.

Conditional on Commerce Commission clearance, the agreement will see farmers receiving 100 cents in the dollar for their outstanding debts.

“We strongly believe that it provides the best possible outcome for farmers and indeed all key stakeholder groups in the company,” ” says Brian Mayo-Smith.

The agreement concludes a four-week sales process undertaken since the Russian-owned NZDL went into receivership on 17 May 2012.