Synlait Milk (ASX:SM1) is to acquire farmland adjacent to its Dunsandel facility in New Zealand for $25.7 million.
Collectively, the farmland forms a 582-hectare unit.
The land enables Synlait to pursue several strategic supply chain and sustainability initiatives that support Dunsandel’s long-term operation and expansion.
These include greater control over water rights, developing a rail sliding for their warehouse project and opportunities for on-farm research.
Synlait has received Overseas Investment Office consent for the acquisition.
Shares in Synlait Milk (ASX:SM1) are trading 0.58 per cent higher at $5.23.