New Zealand dairy processing company Synlait Milk has announced that it will process more milk than forecast following a decision to take a significant allocation of milk under the Dairy Industry Restructuring Act in the financial year to 31 July 2014.
The decision was made after further planning and a small investment in plant and equipment resulted in an opportunity to increase production capacity of its ingredient products without impacting the forecast infant formula and nutritional products business.
The extra milk will result in an increase to the forecast milk supply and production volumes of its ingredient products as stated in the prospective financial information (“PFI”) of its prospectus issued in June 2013. While early in the season the additional total production provides the company with increased confidence in achieving its forecast financial result for FY2014.
The total volume of milk expected to be taken is still to be finalised. However, an allocation of up to 50 million litres of milk is available to the company.
The decision was made after further planning and a small investment in plant and equipment resulted in an opportunity to increase production capacity of its ingredient products without impacting the forecast infant formula and nutritional products business.
The extra milk will result in an increase to the forecast milk supply and production volumes of its ingredient products as stated in the prospective financial information (“PFI”) of its prospectus issued in June 2013. While early in the season the additional total production provides the company with increased confidence in achieving its forecast financial result for FY2014.
The total volume of milk expected to be taken is still to be finalised. However, an allocation of up to 50 million litres of milk is available to the company.
