a2 Milk strikes insured $62m deal to settle shareholder class action

a2 Milk Company ( (ACOPF) ) has provided an announcement.

The a2 Milk Company has reached an in-principle agreement to settle consolidated shareholder class action proceedings in the Supreme Court of Victoria, brought on behalf of investors who held fully paid ordinary shares on the ASX or NZX between 19 August 2020 and 9 May 2021. The claims centred on the company’s disclosures and earnings guidance for the 2021 financial year, with a2 Milk making no admission of liability as part of the deal.

Under the agreement, a2 Milk will pay a settlement amount of AUD 62 million, inclusive of interest and costs, which will be fully covered by available insurance proceeds and will not affect its forecast earnings for FY26. The settlement remains subject to finalisation of a deed of settlement and approval by the Supreme Court of Victoria, and its resolution is expected to remove a significant legal overhang for shareholders and the company’s governance agenda.

More about a2 Milk Company

The a2 Milk Company Limited is a dairy products company listed on both the Australian Securities Exchange and NZX Main Board, known for selling milk and related products that contain only the A2 type of beta-casein protein. The company targets consumers seeking perceived digestive and health benefits from specialty dairy, and has grown into a significant branded player in Australasian and international dairy markets.

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