SML - Synlait Milk Ltd

[Nasi Goreng]

Wonder when Synlait get the contract to package A2 milk? I suspect the current issue could be that they need all of the A2 they can get for milk powders.

Also, isn’t it amazing what a small nimble company can do vs Fonterra.

[King1212]

I love pam stuffs....their products are affordable yet good quality!

[petty]

Yea its def a good product I agree. I use a lot personally but probably because its good value for money. Ie good quality for what you pay. I suppose I had thought, when Synlait signaled they were moving into B2C, that they would target the 'Kapiti' or 'Lewis Road' premium product rather than blue top milk.

[Beagle]

From the presentation - N.Z. fresh milk market ripe for innovation. This is a first step. Looks like Synlait will be mowing more and more of Fonterra's grass in the future.
Leverage off this new facility for product expansion - all debt funded. Good move, happy holder looking to accumulate on any weakness which probably won't be today lol

[steveb]

Market cap of 1.25B this would be pocket change to fonterra if they wanted to gobble them up,they would probably have to go after A2M as well

disc not holding

[Nasi Goreng]

I don’t think Fonterra could gobble them up and get past the regulators. It would reduce competition... I would like SML to stay in my hands thank you very much.

[Beagle]

I don’t think Fonterra could gobble them up and get past the regulators. It would reduce competition... I would like SML to stay in my hands thank you very much.

Agreed. Market dominance concerns would almost certainly scuttle and possible takeover attempt by Fonterra in my opinion. Happy to hold for long term growth.

[whome]

Fonterra, ruled by their dairy farmer base with their co-operative production oriented thinking, would be the kiss of death for Synlait. The path of managed growth driven by market demand and happy shareholders will see Synlait go from strength to strength and the new distribution deal will see the likes of A2 branded products become mainstream in NZ. This would never happen under Fonterra as it would upset the majority of their farmers with their Holstein-Fresian A1 dominant herds.

[hardt]

Fonterra, ruled by their dairy farmer base with their co-operative production oriented thinking, would be the kiss of death for Synlait. The path of managed growth driven by market demand and happy shareholders will see Synlait go from strength to strength and the new distribution deal will see the likes of A2 branded products become mainstream in NZ. This would never happen under Fonterra as it would upset the majority of their farmers with their Holstein-Fresian A1 dominant herds.

You are not giving Fonterra enough credit, they have done very well growing hundreds of brands around the world..

Although as opposed to ensuring strong mutually beneficial relationships Fonterra does tend to wear the big boy pants and takes over.

SML has a lot more room for error in setting up relationships and in the development of products... just saying.

[King1212]

You are not giving Fonterra enough credit, they have done very well growing hundreds of brands around the world..

Although as opposed to ensuring strong mutually beneficial relationships Fonterra does tend to wear the big boy pants and takes over.

SML has a lot more room for error in setting up relationships and in the development of products... just saying.

Fonterra can take over SML...they can buy my share...$21 a share..that would value SML $3 b ish...fonterra can afford it and I a man happy with it