Subscribe today - find out more
Why you should consider BusinessDesk
Opinion

Fonterra's plan will leave farmers with stranded assets

Jenny Ruth
Mon, 15 Nov 2021

Fonterra's plan will leave farmers with stranded assets
We all know what happens to turkeys at Christmas. (Image: Getty)
Jenny Ruth
Mon, 15 Nov 2021
In 2012, when Fonterra listed its shares and units in the Fonterra Shareholders Fund on the NZX, it solved a major headache it had previously faced: redemption risk.Each dairy farmer had to own one Fonterra share for every kilo of milk solids they produced. Before the listing, Fonterra was selling farmers shares when they increased production and buying the shares back when a farmer's production declined.Fonterra had constantly faced an unknown degree of liability, which the listing removed by transferring it to its farmer shareholders...

Not convinced yet?

Subscribe to our Daily News Update free newsletter.

Coronavirus
Red light for Auckland, orange for South Island
Brent Melville | Mon, 29 Nov 2021

The government will move New Zealand to its traffic light framework from Friday with most of the country in either the red or orange levels.

Opinion
Taming the beast that's inflation
Cameron Bagrie | Mon, 29 Nov 2021

The RBNZ’s job is not going to be easy over the coming years. There are myriad forces at play and reading the tea leaves will be tough.  

Tourism
The cost of slow border openings to tourism: $39b by 2024
Brent Melville | Mon, 29 Nov 2021

The impact on New Zealand's tourism sector will continue to be felt until the country removes its border quarantine system, tourism operators say.

Sponsored
Mansons leads with 120% carbon offset for new builds

Mansons TCLM is committing to a benchmark of 120% carbon offset for new buildings.

Sponsored
SIXT drives the company car upmarket

SIXT is enhancing its adaptable car subscription service with SIXT Business, catering for businesses wanting premium vehicle fleets.