Fonterra does not have the certification to export to China. it is no the issue with process power from my understanding.
Correct - the necessary Chinese Import licence is owned by Synlait and not transferable, and this is limited to a physical factory - i.e. according to my understanding even Pokeno would have needed an amendment of this licence (if they would have wanted to make their Chinese IF there). However - they could probably direct all A1 milk to some of Fonterra's processing facilities and focus in Dunsandle on making their A2 IF formula for China.
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"Prediction is very difficult, especially about the future" (Niels Bohr)
Correct - the necessary Chinese Import licence is owned by Synlait and not transferable, and this is limited to a physical factory - i.e. according to my understanding even Pokeno would have needed an amendment of this licence (if they would have wanted to make their Chinese IF there). However - they could probably direct all A1 milk to some of Fonterra's processing facilities and focus in Dunsandle on making their A2 IF formula for China.
yes. that is right. forgot that part. it is not even just the company, the certification is for a physical factory.
The Appeal Court has said "In the present case, there is no difficulty with the enforcement of the covenants.". There is only one court left to say any different and that is the Supreme Court. There is always a point in going to the Supreme court – and that is to get a decision in SML’s favour. But the risk is it doesn’t go their way – in which case they are totally knackered. A position they already find themselves in.
Mr Ye is entitled to enjoy his land with neighbouring lt.
"Re read the decision
1 The Quarry doesn't own the land and the covenants don't go to the ownership they provide grazing and lifestyle farming rights for 28 hectares but they don't provide for title impact.
2 There is an issue of the value of these rights and some compensation will be payable, which is probably why the Quarry appealed they want monetary compensation and didn't get it when the rights were removed. The purchase price will get discounted by the value of the rights (re see purchase agreement) and the Quarry will agree to have them lifted. Impact on Synlait zilch"
End of month I believe Synlait have an Investor day planed, could provide more clarity until then without any knowledge of legal teams advice before or after the build it's all speculation Recent GS update Buy PT $11.60
“We are speaking to all parties involved and hopeful that we can get to a solution here,” he told Rural News. “The overturning of the ruling was a surprise to us and to others.”
Asked why Synlait had started building the plant when an appeal was still possible, Clement says Synlait had always acted in line with legal advice “and that was supported by the High Court finding which was pretty unequivocal”.
“So we were surprised the Court of Appeal overturned it,” he says. “We were also acting in line with the industrial zoning for the area, which is consistent with neighbouring land and the other area around it including an infant nutrition factory.”
Originally Posted by RTM
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