AFFCO Holdings
|
Formerly called
|
Auckland Farmers' Freezing Co-Operative |
|---|---|
| Subsidiary | |
| Industry |
Meat Processing Tannery |
| Founded | 1904 in Auckland, New Zealand |
| Headquarters | Hamilton City, New Zealand |
|
Key people
|
Nigel Stevens, CFO |
| Products |
Beef Veal Pelts Lamb |
| Revenue |
 $968 million NZD
|
|
Number of employees
|
2800+ |
| Parent | Talley's Group |
| Divisions | Affco USA, Inc Affco Europe Ltd |
| Website | www |
AFFCO Holdings Limited, commonly referred to as AFFCO or "Auckland Farmers Freezing Company", is New Zealand's fourth largest meat processor, having been in operations since 1904. AFFCO has been largely owned by Talleys group since 2007 and is one of the few remaining Talleys owned companies to employ unionised workers at their plants. AFFCO has nine plants across New Zealand.
AFFCO is the subject of a song by New Zealand band The Skeptics which is best known for its music video that includes graphic scenes of animal slaughter.
In 2002 AFFCO acquired all shares of shareholders that held 1000 shares or less. This buyback accounted for 0.87% off all shares listed at the time and effectively removed over 7000 shareholders from its share register.
In 2004 AFFCO acquired New Zealand's largest processor of Bobby Calves Dairy Meats New Zealand Ltd for $42.2 million.
In 2007, Affco through its subsidiary Dairy Trust acquired 55.5% Waikato-based dairy exporter Open Country Cheese Limited for an undisclosed amount. In December 2013, AFFCO's shareholding was raised to 70.5% after Talleys; through AFFCO, purchased 14.99% from Olam International.
Talleys takeover began in 2001 after the fishery acquired a 10% stake on top of its existing 1.3% stake for $6 million (NZD).
In 2003, after multiple bids, Talleys successfully raised its shareholding to 37% after purchasing 11% from Hugh Green Investments.
In March 2006, Talleys made another bid to acquire more shares in AFFCO taking their stake to 50.01% from its then 40% stake. It was also reported that Talleys has been constantly been acquiring shares in AFFCO through both on-market and off-market acquitisions. Later in the year Talleys closed its bid receiving an 18% stake from several minor shareholders taking its stake to just over 58%.
In 2010 it was reported that Talleys had come to an agreement to purchase John Spencer's stake in AFFCO by purchasing his shares held by Toocooya Nominees increasing its shareholding to 76.2% for $43.9 million. Later in the year Talleys launched a full-scale takeover of AFFCO.
By October 2010, Talleys had acquired 90.474% of all AFFCO shares forcing a compulsory acquisition to occur giving Talleys 100% of all AFFCO shares. AFFCO was subsequently de-listed from the NZX.
In 2006 AFFCO fired multiple workers under suspicion of a theft ring was operating in its Wairoa plant. In 2007 an Employment Relations Authority court found in favor of the fired workers for unjustified dismissal and awarded upwards of $60,000 combined as compensation and unpaid wages.
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Wikipedia