Fonterra Co-operative Group Limited (for itself and on behalf of Fonterra Shareholders’ Fund) has requested an immediate trading halt to be applied to their respective securities on:
1. the ASX;
2. NZX Main Board/Debt Market; and
3. the Fonterra Shareholders Market.
This request has been made to give Fonterra time to consider the outcome of its arbitration with Danone regarding Fonterra’s 2013 Whey Protein Concentrate precautionary recall.
Fonterra has been advised that it will receive the arbitration tribunal’s decision today. The decision document is expected to be both lengthy and complex and neither party has been given advance notice of the tribunal’s findings. Fonterra will not be in a position to immediately assess any financial implications and advise the market.
Fonterra CEO Theo Spierings said the Co-operative expected to make a market announcement in relation to the Danone arbitration decision as soon as possible.
“Fonterra remains in a strong financial position and any damages award will not affect our ability to operate. We will share further details with the market, our farmers and staff as soon as practical,” he said.