Australia’s only listed dairy company, Australian Dairy Farms Group (AHF), has entered into agreements to buy three additional dairy farms for a collective $16 million that, once integrated, will double the group’s milk production.
The company has already raised $15.7 million toward the purchases which include land, improvements, and livestock, through Australian and overseas institutional and retail investors, and it aims to raise an additional $2 million through offering discounted shares to existing shareholders registered in either Australian or New Zealand.
The acquisitions will double AHF’s annual milk production from 10 million to 20 million liters, transforming the company into a leading milk producer by volume in the South West, as it strives toward a target production capacity of 50 million liters.
“We continue to see strong interest in our dairy aggregation strategy, as investors continue to focus on global food security and growth in demand for Australian dairy products from Asian countries,” AFH director, Adrian Rowley tells Stock and Land.
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