Australian Dairy Nutritionals announces sale of Brucknell South Farm

In a strategic move signaling future growth, the board of Australian Dairy Nutritionals Ltd, a leading figure in the Australian dairy sector, has announced the listing of its Brucknell South farm, situated at 650 Timboon-Nullawarre, Brucknell, Victoria, for sale via Elders Camperdown.

Operational Impact & Assurance

The farm, renowned for its production of organic A2 milk, generates a surplus that exceeds the raw milk necessities for the Group’s Depot Road infant formula facility. Importantly, this sale won’t influence the ongoing production of the prized Ocean Road Dairies organic A2 infant formula collection at this establishment. The Group’s other operational farm, Yaringa, is adequately equipped to produce the required organic A2 protein milk to keep the Depot Road facility running at its full potential.

Future Financial Implications

This sale isn’t just a business decision; it’s a strategic pivot. By offloading the Brucknell South farm, Australian Dairy Nutritionals Ltd will be injecting a robust amount into its cash reserves. This is in line with the Group’s revamped FY24 strategy, which encompasses a vision of augmenting the sales of the Ocean Road Dairies range both on home turf and on the international stage. Moreover, the Group is eager to explore avenues to ramp up utilization at the Depot Road facility.

In Conclusion

The decision to list the Brucknell South farm underscores Australian Dairy Nutritionals Ltd’s commitment to refining its operational efficiencies and bolstering its growth plans. As the dairy market evolves, the Group’s strategic moves seem poised to solidify its position both domestically and globally.