A 'categorical no' to Fonterra going public

Fonterra chairman Henry van der Heyden will take up a directorship on the board of the NZX. Picture / Greg Bowker

Anyone thinking Fonterra chairman Henry van der Heyden's new job as a director on the NZX board might increase the chances of the dairy co-operative publicly listing is going to be disappointed.

"That's a categorical no," van der Heyden says with a chuckle that suggests he thinks the question is ever so slightly moronic.

The dairy farmer, who will continue to lead Fonterra and its $12 billion business, was approached by the NZX about joining its board.

"I had to consider it carefully to ensure I had my balance right," says van der Heyden.

"Fonterra is an absolute priority for me, but the business is in good shape. I looked at my diary and what the stock exchange was expecting from me, and I had plenty of time for this role."

His appointment will add to the NZX's appeal in the eyes of primary sector companies.

NZX chief executive Mark Weldon has been vocal about the need to attract new listings from the sector, which is historically under-represented on the exchange.

Some farmer co-operatives - such as Livestock Improvement and Wool Equities - have listed in the past few years.

NZX chairman Simon Allen said van der Heyden would not be out there drumming up business for the exchange.

"That's not the role of a director."

His job would be to focus purely on governing the NZX.