ATM - A2 Milk Corporation Limited

[blakecb]

And worse, they then want to issue another 5mill partly paid to one of them, who 'sacrificed' some upside at his previous role.

extracting the urine aren't they?

Yeah I don't like it, why wouldn't every Managing Director just sell their shares if they will be 'gifted' another 5 mil to 'align their interests with the company'....the interests were aligned until they sold the last lot!!!

What a pain, this company looks to be a really good company that is going places and about to make new highs and the directors go off and sell their shares. What don't directors just do their job and send the right messages to the market rather than the wrong messages.

[okay]

Hi MAC. Thank you for your welcome.
My main issue is the issuing of another 5m shares, $3.5m+. Previous issues were @ 10c quite a big $ compensation difference. If they give him a 10c discount on the 5m that would "align more with shareholders", but even that is 500k worth!

[SirPrize]

So does this mean there'll be a significant dip?

[MAC]

My view is not significantly SirPrize.

There will be some minor dilution in the issuing of the new shares, but 5M shares represents only 0.7% of shares on issue.

We are all entitled to sell shares, even management, and this is the first significant profit for Geoff Babidge, good on him, he's done very well indeed for ATM.

[SirPrize]

Thanks for that MAC - I agree, his efforts should be rewarded - and this is just that.

[muss1]

Insider buying is something to get excited about, insider selling could mean any of the things KW said and more. The recent results were positive, and there is a lot of potential upside to look forward to. As others have pointed out the dilution is a minor inconvenience, but if GB keeps performing then I'm sure it'll be worth it

[waikare]

This is not the first time the board has been underhand regarding the issue of shares, in early Dec. 2013 the directors and their associated companies sold down some of their holdings, then under the heading of Capital Raising they issued $4000 million worth of shares to themselves and other institutional investors at a discounted price of $0.05. If I can recall correctly prior to share placement the shares were trading at the $0.67 - $0.70 range. This resulted the share price dropping to around $0.50.

[blackcap]

This is not the first time the board has been underhand regarding the issue of shares, in early Dec. 2013 the directors and their associated companies sold down some of their holdings, then under the heading of Capital Raising they issued $4000 million worth of shares to themselves and other institutional investors at a discounted price of $0.05. If I can recall correctly prior to share placement the shares were trading at the $0.67 - $0.70 range. This resulted the share price dropping to around $0.50.

I beleive this was the only way they could have gotten the capital they needed into the company A rights issue may not have worked at 50 cents. I was pretty comfortable with that. Raised the profile of A2 and gained them a top 50 spot etc. And gave the much needed $millions for their expansion into markets they are going into now.

Yes it was a shame for the price to drop from the 67 mark but all on very thin volume and if I remember it was on the alternative market as well.

[hilskin]

Another good sign for A2 milk. Below is a list of cafes who are choosing to use a2 milk exclusively. I personally buy A2 milk to make our lattes at home, it makes a better froth and tastes soooo much better. I can see A2 gaining more and more market share in Australia and it will take time but we should see some improvements in the UK next year. Hope they sort out their NZ issues soon as there is no reason it couldn't do well here if properly marketed. Baby formula will be the icing on the cake. Very Happy Holder
From FaceBook Page.
Pssstt…..the good news about A2 is spreading and more cafes are choosing a2 Milk exclusively.
A warm welcome from the A2 family to Café Teena, Café Siyia, Omara Cycles Café, Flock Café, Zoro Espresso Café, Newtown Provedore Café, Taste Food & Wine Café, Tika Café, Café Civic, Stoneground Café, Dundas & Faussett Café, Harold Holt Espresso Lounge, Coffee Rush, and Dolce Espresso Café (Melbourne); and Loaf Shack Café, The Persian Room Café, and Black Mocha Café (Sydney).

[MAC]

It’s pleasing as a long term investor in ATM to see continual ongoing evidence of increasing awareness in the UK market.

http://www.milkintolerance.co.uk/

http://www.thenutritionplace.co.uk/1...inking-it.html

http://www.nutrition2me.com/news/pro...dairy-problems

Of course, it’s also entirely pleasing to see that A2 is now available at Budgens, Booths, Morrisons, Sainsburys, Tesco and Waitrose stores. This covers the entire UK market very well.

ATM have a FY16 market share target for the UK of 1.8%, unless ATM’s expansion into the UK is capital limited or perhaps limited by JV partner Muller Wiseman, this target seems way too conservative to me ?.