By Phil Boeyen, ShareChat Business News Editor
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Wednesday 16th January 2002 |
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The Westland co-operative says its 335 dairy farmer shareholders voted unanimously against a Fonterra merger proposal at a special meeting in Hokitika on Wednesday.
The vote follows advice last week from the Westland Milk Products' board that shareholders turn their back on the Fonterra deal, which chairman Ian Robb says was essentially the same as an earlier merger offer. That offer was turned down by 95.4% of Westland shareholders in June 2001.
Mr Robb says the vote reflects local dairy farmers' confidence in the future of the local industry and their desire to remain in control of dairy production in their region.
"It is clear that Westland dairy farmers value their independence and believe strongly in the prospects for the local industry."
Westland Milk Products acting CEO, Hugh Little says the co-operative has achieved some remarkable successes in recent years and has mapped out a clear strategy for future growth.
"Last year, Westland gave farmers the best shareholder return in the country, $5.20/kg of milksolids, and had a record turnover of $211 million.
"With a $60 million whole milk powder plant in Hokitika already under construction and plans by Landcorp, our biggest shareholder, to invest $20 million in expanding its dairy production in Westland, we are in very good shape for the future."
Mr Robb says he hopes the latest shareholders' vote will finally resolve the issue of a merger with Fonterra and that the company can now get on with running its business.
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