The NZAX may be about to lose another listing, with A2 Corporation looking to move to the ASX if a merger with Australian-based Freedom Nutritional Products goes ahead.
Merger discussions have been launched between the two companies, with the aim of an all scrip-based ‘merger of equals’ that would see the surviving entity listed on the ASX.
A2 Corporation, which has built its business on the claim that drinking milk containing only A2 beta casein may reduce the risk of several health conditions, currently lists on the alternative market (NZAX:ATM) , while Freedom Nutritional Products is listed across the Tasman (ASX: FNP).
A2 shares have been worth less than 15c for the past two years and currently trade at 7.9c on the NZAX.
In February, the company reported a post-tax loss of $717,172 in the six months ending December after posting a loss of $1.99 million in the last half of 2008.
It already has a presence in Australia, with A2 milk now available in all of the country’s states.
Health food company Freedom Nutritional Products posted a record net profit of $1.84 million in the six months ending December, up 110% on the previous period.
It has restructured its business in recent months with the closure of a biscuit factory, but still suffered lower operating earnings in the interim period for wholly owned businesses, mainly due to lower returns from contract manufactured cereal products and from discontinued lines.
This article is tagged with the following keywords. Find out more about MyNBR Tags
- New Chief Executives appointed for Ministry for Pacific Peoples and Ministry for Women
- NZ dollar holds near highest in almost 4 months vs Aussie as parity talk re-appears
- Moa Group narrows its FY17 loss as revenue continues to lift
- Orion announces discounted rights issue, hints at possible takeover
- Auckland University gets share of $215m investment deal for commercialisation
Most listened to
- "All options are open with private equity," says MediaWorks chief executive Michael Anderson
- Orion chief executive Ian McCrae on his company's full-year result and the year ahead
- Mainfreight chief executive Don Braid on the company's outlook and global reach
- The Green Party has revealed its final list and co-leader James Shaw is upbeat about the party's new look
- Steven Newman talks through Eroad's US progress
- NBR Radio: best of the week ended May 26, with Grant Walker