Fonterra, NZX and EEX confirm GDT strategic partnership

Internal



30 June 2022
Fonterra, NZX and EEX confirm GDT strategic partnership
Fonterra today confirms the finalisation of the strategic partnership with New Zealand’s Exchange (NZX) and
the European Energy Exchange (EEX) to each take ownership stakes in Global Dairy Trade (GDT) alongside
the Co-op.

As announced in February 2022, the partnership was subject to the approval of Boards, clearance from
relevant competition law authorities, and finalisation of transaction documentation. With those approvals now
received, Fonterra, NZX and EEX each hold an equal one-third (33.33%) shareholding in the global dairy
auction platform GDT as of 30 June 2022.

CFO Marc Rivers says the confirmation of the strategic partnership is an important milestone for Fonterra and
global dairy participants.

“The move to a broader ownership structure marks the next step in the evolution of GDT – giving it a
presence in prominent international dairy producing regions, with greater participation expected at GDT
events.

“It will bring more participants and transactions, stimulating further growth of risk management contracts
available on financial trading platforms.

“This creates opportunities for the growth of financial tools to better manage price volatility – which is
something many industry participants, from farmers through to customers, are exposed to,” says Mr Rivers.

GDT Chief Executive Dr Eric Hansen said: “The GDT team is looking forward to working with EEX and NZX
as strategic partners with strong interests in dairy and established reputations as regulated exchanges to
enhance GDT’s role as an independent, neutral and transparent price discovery platform.”

NZX Chief Executive Mark Peterson says the strategic partnership will strengthen GDT’s market reach
benefiting New Zealand dairy farmers and customers.

“At a time of geopolitical and macroeconomic instability, GDT’s vision to expand its global reach and provide
better transparency in dairy commodity prices, is more important than ever for dairy market stakeholders,”
says Mr Peterson.

Fonterra Co-operative Group
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“It aligns with NZX’s strategy of growing capital markets, connecting with more businesses, and creating
greater value for shareholders and investors. In GDT, NZX is excited to be working with the best partners to
achieve this.”

EEX Chief Strategy Officer Dr Tobias Paulun adds “Being a shareholder of GDT fits perfectly to our strategy
of taking asset classes which we already successfully serve to a global dimension.

“EEX looks forward to supporting GDT’s growth vision with NZX and Fonterra with the aim to create value for
the global dairy value chain by further improving price discovery and price risk management instruments.”

Next steps for GDT include appointing a new board and planning strategic growth initiatives, such as more
frequent auctions and bringing more sellers onto the platform.

Fonterra’s transaction proceeds on sale total NZD $35m. Final transaction proceeds will be subject to
customary post-completion adjustments.

As with previous one-off transactions, Fonterra’s FY22 announced forecast earnings range will continue to
reflect only the underlying performance of the business.

ENDS

Fonterra Co-operative Group
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For further information contact:

Fonterra Communications
Phone: +64 21 507 072
communications@fonterra.com

NZX Communications
Simon Beattie
Phone: +64 21 702 694

EEX Public Relations
Phone: +49 341 2156-216
presse@eex.com

GDT Communications
Jen O’Hara
Phone: +64 27 705 2178


About Fonterra

We’re an Aotearoa, New Zealand dairy co-operative owned by 10,000 farming whānau (families). Through the spirit of
co-operation and a can-do attitude, Fonterra’s farmers, along with 20,000 employees around the world, share the
goodness of our milk through innovative consumer, foodservice and ingredient brands. Sustainability is at the heart of
everything we do, and we’re committed to leaving things in a better way than we found them. Everyday people working
hard to be Good Together in the community.

About NZX

For more than 150 years we have been creating opportunities for Kiwis to grow their personal wealth and helping
businesses prosper. As New Zealand’s Exchange, we are proud of our record in supporting the growth and global
ambitions of local companies. NZX operates New Zealand's equity, debt, funds, derivatives and energy markets. To
support the growth of our markets, we provide trading, clearing, settlement, depository and data services for our
customers. We also own Smartshares, New Zealand's only issuer of listed Exchange Traded Funds (ETFs), and
KiwiSaver provider SuperLife. NZX Wealth Technologies is a 100%-owned subsidiary delivering rich online platform
functionality to enable New Zealand investment advisors and providers to efficiently manage, trade and administer their
client's assets. Learn more about us at: www.nzx.com

About EEX
The European Energy Exchange (EEX) is the leading energy exchange which builds secure, successful and sustainable
commodity markets worldwide – together with its customers. As part of EEX Group, a group of companies serving
international commodity markets, it offers contracts on Power, Natural Gas and Emission Allowances as well as Freight
and Agricultural Products. EEX also provides registry services as well as auctions for Guarantees of Origin, on behalf of
the French State. More information: www.eex.com


About GDT

Global Dairy Trade (GDT) is the world leader in developing and operating dairy trading platforms, and actively supports
the development of efficient dairy derivative trading. Our GDT Events auction service is the world’s pre-eminent price
discovery platform for globally-traded dairy products, bringing together buyers and sellers of dairy ingredients from 70
countries to trade US$2-3 billion annually. GDT’s credible, market-based reference prices play an important role in
allowing buyers and sellers to trade with confidence in global and regional dairy markets. Data generated from the
auction process is available through our GDT Insight subscription service to support the global dairy industry and
associated financial trading.

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