SML - Cancellation of Synlait's exclusive supply rights

The a2 Milk Company Limited (a2MC, the Company) refers to its market announcement made on Monday, 18 September confirming that it had provided Synlait Milk Limited (Synlait) with written notice cancelling the exclusive manufacturing and supply rights held by Synlait in respect of stages 1 to 3 of a2MC’s current infant milk formula (IMF) products (being a2 Platinum® and a2 至初®) for sale by a2MC in the markets of China, Australia and New Zealand.

Synlait disputed the notice and, in accordance with the dispute resolution provisions of the manufacturing and supply agreement, a2MC and Synlait entered into a 20-business day period of good faith negotiations, which has not resolved the dispute. The matter will now be submitted to confidential binding arbitration as provided for under the dispute resolution provisions of the manufacturing and supply agreement.

 Dispute submitted to arbitration

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