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Synlait, where Chinese Bright Dairy is a 39% shareholder and listed on the Australian Stock Exchange, are planning to build a second dryer following a production increase of its canned formula volumes from 4,300 tonnes to 16,000. Profits increased from NZ$10.6 million (€7.165m) to $34.4 m (€23.25m).
No date or location has been announced for the new plant but the company said it wanted to inform shareholders of the direction it was heading.
Graeme Milne, Chairman of Synlait said the company had grown rapidly since its listing in 2013, when it launched a $250million (€169m) capital expansion plan. There has been total shareholder return of 55% since that time.
CEO, John Penno said proposed changes in Chinese legislation may lead to more modest growth in canned infant formula sales next year.
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