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Jatenergy acquires Australian Natural Milk

Agriculture
ASX:JAT      MCAP $26.64M
15 August 2019 04:27 (AEST)

Jatenergy (JAT) will acquire 70 per cent of the issued shares in Australian Natural Milk Association (ANMA).

This acquisition allows JAT to take control of the supply chain and its major growing products.

The company has already started to produce its production of Neurio Goat Infant formula at the ANMA facility.

Jatenergy is a China-Australia trade specialist. The Company develops and markets a portfolio of in-house branded consumer packaged goods.

JAT has positioned itself as a major player in the Australian consumer goods export industry, offering Chinese retail presence and online sales to Chinese consumers through offshore platforms and high-volume wholesaling.

ANMA is a Melbourne based dairy company and supplies high quality milk formulas. Victoria dominates the dairy industry in Australia, producing over 65 per cent of Australia’s fresh milk.

The company has begun to deliver on its strategy of capturing the manufacturer’s margin and reducing its business risk by ensuring it meets the orders for its products on time.

Managing Director Wilton Yao is happy with the acquisition.

“Commencement of production today at the ANMA facility being acquired by JAT is a major milestone in the development of JAT’s trading business.

Our strategy of vertical integration will enable us to capture the manufacturer’s margin, reduce our business risk and build a strong fixed asset base,” he said.

ANMA will continue to produce formula for other third-party milk powder suppliers.

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