Bellamy’s boss backs takeover
THE chairman of Tasmanian baby food manufacturer Bellamy’s has recommended shareholders support the proposed $1.5 billion takeover by Chinese dairy company Mengniu.
In a letter in the company’s scheme booklet released to the ASX, John Ho raised concerns about Bellamy’s continued registration in China and tampering of the product.
“Despite maintaining extensive and high-quality controls across the supply chain, the Bellamy’s brand and reputation are exposed to material erosion from actual or perceived contamination, soilage or other alteration, product misbranding or tampering,’’ he said.
Shareholders will meet in Melbourne on December 5.