Fonterra completes sale of Mainland Group to Lactalis

31 March 2026

Fonterra completes sale of Mainland Group to Lactalis

Fonterra Co-operative Group Ltd has today completed the sale of its global consumer and
associated businesses, Mainland Group, to Lactalis.

Chairman Peter McBride says the completion of the sale is a significant milestone which sets the
Co-op up for the future.

“With the divestment complete, Fonterra can return capital to its owners and focus on growing
further through its core business as a New Zealand farmer-owned global B2B dairy provider,” says
Mr McBride.

CEO Miles Hurrell says “through our high performing Ingredients and Foodservice businesses, we
sell innovative dairy products to customers globally under our NZMP and Anchor Food
Professionals brands.

“We can now focus our resources, R&D spend, and farmers’ capital on continuing to grow these
businesses, which generate the greatest return for farmers’ milk.

“The completion of the sale also signals the start of our long-term partnership with Lactalis. Lactalis
becomes one of our most significant Ingredients customers, as we continue to supply milk and
other products to the divested businesses,” says Mr Hurrell.

Capital return payment

As previously advised, Fonterra will return $3.2 billion of divestment proceeds to farmer
shareholders and unit holders via a $2.00 per share capital return.

Fonterra can now confirm the record date for being eligible for the capital return is 5.00 pm on 9
April 2026 and the payment date is 14 April 2026.

As is standard practice, the NZX has approved a three-day administrative trading halt in respect of
Fonterra's shares and Fonterra Shareholders’ Fund units listed on the NZX Main Board.

The trading halt will apply from market open on 8 April 2026 through until the close of trading on 10
April 2026. This is to ensure all trades have settled before the record date and to allow time to
update Fonterra's share register.

Financial outlook

Fonterra’s FY26 earnings guidance for continuing operations remains unchanged at 50-65 cents
per share.

Fonterra Co-operative Group
Page 2

Fonterra continues to target earnings to return to FY25 levels by FY28, offsetting the Mainland
Group divestment, through focused execution of its strategy.

ENDS

For further information contact:
Philippa Norman
Fonterra Communications
Phone: +64 21 507 072

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Corporate Action Notice
(Other than for a Distribution)
Updated January 2024
Page 1 of 2
Section 1: Issuer information (mandatory)
Name of issuer Fonterra Co-operative Group Limited
Class of Financial Product Fonterra Co-operative Group Limited Shares
NZX ticker code FCG
ISIN (If unknown, check on NZX
website)
NZFCGE0001S7
Name of Registry Computershare Investor Services Limited
Type of corporate action
(Please mark with an X in the relevant
box/es)
Share Purchase
Plan/retail offer
Renounceable
Rights issue or
Accelerated
Offer

Capital
reconstruction
X Non-
Renounceable
Rights issue or
Accelerated
Offer

Call Bonus issue
Placement
Record date 9/04/2026
Ex Date (one business day before the
Record Date)
8/04/2026
Currency NZD
External approvals required before offer
can proceed on an unconditional basis?
N
Details of approvals required N/A
Section 5: Capital reconstruction

Nature of capital reconstruction
(Please mark with an X in
applicable box)
Financial Product
Split
Financial
Product
Consolidation

Other X Amalgamation
Ratio (for example 1 for 2) New 1 Existing 3
Treatment of fractions
**
Rounded up or down to the nearest whole number (with
0.5 rounded up).
Number of Financial Products to be
issued/ redeemed
One (1) in every three (3) shares held by each
shareholder will be repurchased by Fonterra and
cancelled. As such, 536,396,852 shares are estimated to
be repurchased and cancelled (to be determined after
rounding).

2 of 2
At the same time, one share held by each shareholder
which is not repurchased by Fonterra will be subdivided
into such number of shares as were purchased from that
shareholder, plus one (1).
Total number of Financial Products
of the Class after the capital
reconstruction (excluding Treasury
Stock)
1,609,190,555 (the same as before the capital
reconstruction)
Total number of Financial Products
of the Class held as Treasury
Stock after the capital
reconstruction
Nil (the same as before the capital reconstruction)
Per Financial Product amount (if
cash reconstruction)
$6.00 for each share repurchased and cancelled
Payment date (if cash
reconstruction)
14 April 2026
Allotment date 10 April 2026 (being the date of the share repurchase and
subdivision)
Section 8: Lead Manager and Underwriter (mandatory)
Lead Manager(s) appointed N
Name of Lead Manager(s) N/A
Fees, commission or other
consideration payable to Lead
Manager(s) for acting as lead
manager(s)
N/A
Underwritten N
Name of Underwriter(s) N/A
Extent of underwriting (i.e. amount
or proportion of the offer that is
underwritten)
N/A
Fees, commission or other
consideration payable to
Underwriter(s) for acting as
underwriter(s)
N/A
Summary of significant events that
could lead to the underwriting
being terminated
N/A
Section 9: Authority for this announcement (mandatory)
Name of person authorised to make this
announcement
Anya Wicks
Contact person for this announcement Anya Wicks
Contact phone number 09 374 9341
Contact email address Anya.wicks@fonterra.com
Date of release through MAP 31/03/2026