SML - Synlait Milk Ltd

[nzsharetrade]

Why stuff word in the way that sounds like this is a war between Chinese? we are talking about 200 jobs.

"Since the Court of Appeal's judgment on May 9 in Ye's favour, he has sent a "cease and desist" request to Synlait, but the 39 per cent Chinese-owned company has continued with construction."

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[BlackPeter]

""New Zealand Industrial Park is now working through the successful Court of Appeal judgment with its legal team and an injunction is being considered as an option to ensure the implementation of the three Appeal Court judges' decision." suggests Ye is pretty intent on having neighbors that comply with the covenats and he has the support of the Appeal Court. A practical cash solution may not be what he wants. I hope Clements understands the Chinese play the long game. GPG have the backing of some big boys

You might be right. Just wondering though what his agenda really is? Having an industrial ruin in the neighbourhood might not be his preferred outcome either ...

Maybe they think they can use the already erected building for their own purposes and plan to buy it for a song from Synlait after making it impossible for them to use it. Easy for them afterwards to remove the covenants (after owning it). But maybe I am reading just too many conspiracy theories ...

[Beagle]

I don't rate Clements at all. Sales and marketing background ex Fonterror and all obsessed with being inclusive and right up to the minute super politically correct and carbon efficient as though those things are the all pervasive major goals of the business. In my opinion he's clearly out of his league now and I expect an injunction to be sought very shortly. Worse, I no longer trust the board or senior management after a number of serious instances of concealment of highly relevant shareholder information. In my view the best hope for shareholders is a takeover by ATM at some stage but I wouldn't be holding my breath on that front becuiase its now clear ATM are using their muscle such that the returns from owning the processing facilities are moderate at best.

[hamish]

FWIW.

The Synlait CFO spoke at the Craig's investor day a couple of days back, he was followed straight after by CEO of Mainfreight. It could not have been more chalk and cheese. Synlait came across as angry, pushy, impatient and almost victim-like. Lot's of fancy slides, no soul. For me, was the worst presentation of the day. Gave arrogance.

Mainfreight came across as humble, people first, actually building empowerment (not just words about intent), and getting on with building a great business in a clear, calm fashion. He spoke from a stool, with just a couple of slides of their people and some of their new sites and building their network further. Gave confidence.

The Pokeno litigation was touched on, it came across (implied) that they would attempt to buy their way out of the hole and were confident they could do so.. I'm not so sure.

Disc: After hearing first hand, I sold all my Synlait and bought more Mainfreight. Glad I did.

[RTM]

FWIW.

The Synlait CFO spoke at the Craig's investor day a couple of days back, he was followed straight after by CEO of Mainfreight. It could not have been more chalk and cheese. Synlait came across as angry, pushy, impatient and almost victim-like. Lot's of fancy slides, no soul. For me, was the worst presentation of the day. Gave arrogance.

Thanks Hamish, interesting. Same word I used on an earlier post....2375.
I sold out at $10.00 when they disclosed belatedly that the licensing for their own product into China was delayed.
Then I was disappointed when as usual the price went up....now I'm quite pleased.

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[pg0220]

How hard is it to take the case from court of appeal to supreme court? If cash buyout is unsuccessful and injunction is applied by NZIP, then the only choices for SML is to either take it up to the higher court or give up the factory. If they take it up to the supreme court, it would be a very interesting case and eventually end up the dispute...

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[Beagle]

$300 million.