Struggling dairy manufacturer Synlait says it doesn’t know whether “influential” shareholder a2 Milk will vote in favour of a $130 million lifeline from its major Chinese shareholder.
The company said on Tuesday a2′s vote would be influential in deciding if the critical shareholder loan needed to pay off bank debt due July 15 went ahead.
It said without the loan from an associated company of its largest shareholder, Bright Dairy, its board’s view was Synlait would need to cease trading or initiate insolvency proceedings.
A2 and other Synlait shareholders will vote on the loan at a special general meeting now scheduled for four days before the loan is due, on July 11.
