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Speaker 1: Twenty five away from seven. You're on news Talk ZB tonight.

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Speaker 1: It's great to have your company now Dennis has text

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Speaker 1: us And for those who are outside Auckland, you won't

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Speaker 1: necessarily get this advert that's on the radio at the moment.

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Speaker 1: But here, if you are in the city of Sales,

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Speaker 1: you'll hear Wayne Brown placing ads all the way through

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Speaker 1: News Talk ZEDB to say I'm running for mayor of

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Speaker 1: Auckland and you should vote for me. And he's done

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Speaker 1: this to time it with his press conference which was today,

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Speaker 1: which is quite a shrewd thing to do. And Dennis says, Ryan,

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Speaker 1: do we have to listen to Wayne Brown adverts from

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Speaker 1: now all the way until the October election? No, says Dennis,

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Speaker 1: I would think not. I think they are slightly expensive

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Speaker 1: things to purchase. I don't imagine he'll be doing all

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Speaker 1: the way till October. However, I think it's a smart

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Speaker 1: thing to do because if you'll notice this, no matter

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Speaker 1: where you live in New Zealand, you will notice that

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Speaker 1: he who wins the poll wins the election. So what

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Speaker 1: Wayne Brown is doing is getting out ahead of all

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Speaker 1: of the competition. Who are they anywayating out ahead of

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Speaker 1: all the competitions, cementing his name as the one you

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Speaker 1: vote for early on. Then the polsters come in, they

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Speaker 1: say who you're going to vote for? People go, well,

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Speaker 1: there's only one name in town. It's Wayne Brown, and

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Speaker 1: boom he wins the election, which I think, and it's

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Speaker 1: an easy prediction to make that he will. Twenty four

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Speaker 1: away from seven. Fonterra is advancing its plans for selling

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Speaker 1: off Anchor, Mainland and its other consumer brands. The co

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Speaker 1: op hasn't quite decided whether to sell the brands to

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Speaker 1: another business and a trade sale yet or whether it'll

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Speaker 1: list them in an IPO. But if there is an IPO,

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Speaker 1: Fonterra has already chosen a name for the new business,

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Speaker 1: which would be Mainland Group, and it's already lined up

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Speaker 1: a potential CEO and CFO. Oliver Amanda is the CEO

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Speaker 1: of the Shareholders Association. He's with me tonight, Hi, Oliver

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Speaker 1: got it Ian. What do you reckon it'll be? Do

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Speaker 1: you reckon trade sale or IPO?

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Speaker 2: Well, certainly investors in New Zealand with institutional or individual

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Speaker 2: investors would really welcome a sale by IPO onto the

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Speaker 2: inside X. And really given that the fact that the

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Speaker 2: brands are so well known. That is real, we're real

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Speaker 2: shot in the arm for the inside X. But also

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Speaker 2: because it's so well known, it would probably create a

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Speaker 2: lot of value for Fonterra as well.

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Speaker 1: Yeah, you mentioned the brands are very well known. They're

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Speaker 1: also not just sold here, right, They're sold all over

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Speaker 1: the world. So for if you're talking about investors coming

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Speaker 1: at it from a sheer market point of view, that's

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Speaker 1: got to be attractive.

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Speaker 2: And Ye're absolutely right. So certainly from an investor viewpoint,

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Speaker 2: is the fact that the brands are well known here,

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Speaker 2: that they recognize the strong domestic cash flows here with

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Speaker 2: the New Zealand, or at least we're assuming there are.

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Speaker 2: But also there's that opportunity for growth from an international market.

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Speaker 2: And I think from a New Zealand Inc. Perspective, from

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Speaker 2: a broader New Zealand perspective, that's why it's almost really

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Speaker 2: important that actually that this does become an IPO on

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Speaker 2: the insietex owned by New Zealand investors, because then you've

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Speaker 2: got Fonterra strategy playing out. And I've talked about that

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Speaker 2: being before, about being very manufacturing focused wholesale or supply

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Speaker 2: chain business and then you get that real long term

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Speaker 2: value that's that's brought about by investment in brands.

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Speaker 1: I suppose you would say this being the shareholders Association.

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Speaker 2: I mean you could argue that, but I think this

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Speaker 2: also comes down to where the best value is for volunteerra.

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Speaker 2: And look, I think individual investors and installitutional New Zealand

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Speaker 2: based investors would would probably pay a premium to get

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Speaker 2: hold of a really high performing asset compared to what

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Speaker 2: a private equity or a trade trade sale for the

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Speaker 2: sorts of returns that they'd be.

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Speaker 1: Looking for and which it could also mean that it

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Speaker 1: goes offshore as well, right the ownership which not great

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Speaker 1: for us.

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Speaker 2: And that's absolutely right. So from a New Zealand Ink perspective,

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Speaker 2: as I said, I mean, this is really about trying

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Speaker 2: to preserve as much value as we can in New Zealand.

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Speaker 2: So Fonterra strategy is all about trying to really sweet

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Speaker 2: that manufacturing supply chain process. That's great for them. But

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Speaker 2: then from a New Zealand perspective, let's try to preserve

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Speaker 2: that long term value in the brands and mainland group

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Speaker 2: as it's post Actually that would do that, that would

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Speaker 2: preserve value for investors and create longer term value for

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Speaker 2: New Zealand.

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Speaker 1: In Oliver, what do we know about the potential CEO

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Speaker 1: and CFO and is it unusual before they've even decided

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Speaker 1: how they'll sell it or whether they'll do an IPO

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Speaker 1: to sort of sound some out.

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Speaker 2: I don't think it's particularly unusual. I mean, what you've

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Speaker 2: got here is a leadership or the emergence of a

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Speaker 2: leadership team. If you're trying to promote an IPO into

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Speaker 2: the market, actually getting getting that leadership team introduced to

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Speaker 2: potential investors is actually a really good idea and certain

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Speaker 2: that the blend that you have here, you know, a

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Speaker 2: long term volunteer employees, someone who is someone who the

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Speaker 2: business has grown themselves into having the right capability that's

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Speaker 2: needed for that business, and then also bringing in the

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Speaker 2: right blend of external experience and that can provide a

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Speaker 2: fresh perspective. And that's with the proposed CFL and Paul Victor.

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Speaker 2: So No, look, I don't think it's particularly unusual. I

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Speaker 2: think it's good for the market. It's good for the

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Speaker 2: company to go out and introduce the people. It will

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Speaker 2: become really important to investors as this business comes on

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Speaker 2: to the Stock Exchange.

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Speaker 1: Good stuff, Oliver, thank you very much for that. Great

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Speaker 1: to have you on the show. Oliver Amanda the New

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Speaker 1: Zealand shareholders Association's CEO.

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