Fonterra Eyes Australian IPO as It Focuses on New Zealand Milk
- Long-term strategy includes divesting more offshore assets
- Plans greater investment in sustainability, dairy innovation
Milk tankers stand at a Fonterra Cooperative Group Ltd. factory in Kauri, New Zealand.
Photographer: Brendon O'Hagan/Bloomberg
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Fonterra Cooperative Group, the world’s biggest dairy exporter, said it will divest more offshore assets and focus on extracting greater value from its New Zealand milk amid strong global demand.
Fonterra will review ownership of its two overseas milk pools in Chile and Australia, the Auckland-based company said Thursday after it published full-year results. The Chile businesses will be sold while Fonterra is considering an IPO for its Australian operations “with the intention that we retain a significant stake,” it said.