Sharechat Logo

Synait shares dive after unfavourable court decision on Pokeno

Friday 10th May 2019

Text too small?

A Court of Appeal judgment has thrown into doubt the ownership of the land on which Synlait Milk has built its new Pokeno factory.

When Synlait purchased the land in February 2018, that was conditional on the seller, Stonehill Trustee, procuring the removal of the covenants on the land which restricted its use to lifestyle farming or forestry.

A High Court decision last year had removed the covenants but the owner of adjacent land, Ye Qing and his company New Zealand Industrial Park, has won his appeal against that decision.

Synlait says it is working through what the Court of Appeal decision will mean for its Pokeno plant.

“We will take some time to review the decision and consult with various advisors,” Synlait chief executive Leon Clement says.

The Pokeno plant is due to be commissioned for the upcoming 2019/20 dairy season.

Synlait shares fell as much as 6 percent to $9.90 in morning trading before recovering to $10.01.

(BusinessDesk)



  General Finance Advertising    

Comments from our readers

No comments yet

Add your comment:
Your name:
Your email:
Not displayed to the public
Comment:
Comments to Sharechat go through an approval process. Comments which are defamatory, abusive or in some way deemed inappropriate will not be approved. It is allowable to use some form of non-de-plume for your name, however we recommend real email addresses are used. Comments from free email addresses such as Gmail, Yahoo, Hotmail, etc may not be approved.

Related News:

Second St John withdrawal of labour takes effect tomorrow with further strikes likely
Sanford Appoints Independent Director
CRP ADVISES CLOSURE OF SHARE OFFER TO EXISTING INVESTOR
Devon Funds Morning Note - 14 August 2024
OCR 5.25% - Monetary restraint tempered as inflation converges on target
Consumers still need due diligence as new deposit takers emerge.
Woolworths strike: staff asked to dress up in Disney costumes for a week on their own dollar
Turners Invests in Quashed Online Insurance Platform
PGW Reports on Challenging Year
Arvida Announces Executive Team Changes