- The a2 Milk was established in New Zealand, though it has Australian businesses as well.
- The Vanguard Group, Inc, is the a2 milk’s largest shareholder with 6.9% shareholding.
- Last year, both ATM and FCG entered a strategic partnership.
Source: Copyright © 2021 Kalkine Media
New Zealand’s dairy sector is one of the most prominent export sectors of the country, with annual dairy exports contributing to about NZ$10 billion to the nation’s economy.
Underpinned by massive amounts of money being directed in the dairy sector's research and development, New Zealand has firmly established its position in the global dairy market segment.
The Kiwi nation’s major dairy export markets are the US and China.
Amid the given backdrop, let us look at one of the most prominent NZX-listed dairy stocks, The a2 Milk Company Limited.
Which country owns The a2 Milk
Headquartered in Auckland, The a2 Milk Company Limited was founded by Dr Corrie McLachlan, a scientist, and Howard Paterson, a prominent dairy farmer and a stakeholder in Fonterra Co-operative Group Limited in 2000.
According to Geoffrey Babidge, Former Interim CEO, The a2 Milk is a trans-Tasman company that was established in New Zealand with all the major decisions being made in the Kiwiland, though it has Australian businesses as well.
Is The a2 Milk China-owned company?
China National Agriculture Development Group is the parent company of China State Farm Holdings Shanghai, Co., Ltd, a logistics and distribution company based in Shanghai, which is The a2 Milk’s key partner.
Who is the major shareholder of the a2Milk?
As of 30 January 2021, the Vanguard Group, Inc, is ATM’s largest shareholder with 6.9% shareholding, followed by BlackRock, Inc., with 6.3% and UBS Asset Management with 5.3% shareholding in the Company.
On the other hand, the general public’s stake in the a2 Milk comes to 39%.
Further, in a recent update, ATM has notified its stakeholders that it had complied with all the obligatory disclosures and had negated any legal proceedings being filed against it. It is noted that a section of media had reported possible class action against ATM, which is being investigated by the lawyers of Slater & Gordon.
On 4 June, at the time of writing, The a2 Milk Company was trading down by 0.33% at NZ$6.08.
Does Fonterra own The a2 Milk?
In 2020, both ATM and FCG entered into a strategic partnership, which saw the former's milk products being produced and distributed from the latter's facilities across NZ and AU markets.
The Group on 3 June released an update for its shareholders from the Fonterra’s council regarding its capital structure. It has urged its members to attend regular meetings to understand the Group’s plans and future strategies, be it:
- Milk supply and its impact on earnings.
- Transition to new capital structure.
- Queries related to the share price and performance.
On 4 June, at the time of writing, Fonterra Co-operative Group was trading at NZ$3.350, decreasing by 0.89%.