Fonterra’s $4b Mainland spin-off leaves Bega with a sour taste

Sarah Thompson, Kanika Sood and Emma Rapaport

Apr 23, 2025 – 5.00am

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It’s been almost a year since New Zealand dairy co-operative Fonterra placed its consumer business – the division behind Mainland and Perfect Italiano cheese and Western Star butter – on the auction block.

But the most obvious suitor has been uninvited from the party. Bega Cheese, the ASX-listed food and drinks business backed by the likes of billionaire businessman Andrew Forrest, is a non-starter despite obvious interest because it happens to be in a legal dispute with the seller.

Sarah Thompson has co-edited Street Talk since 2009, specialising in private equity, investment banking, M&A and equity capital markets stories. Prior to that, she spent 10 years in London as a markets and M&A reporter at Bloomberg and Dow Jones.

Kanika Sood is a journalist based in Sydney who writes for the Street Talk column.

Emma Rapaport is a co-editor of the Street Talk column. Prior to that, she was a markets reporter at The Australian Financial Review.