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David Bortolussi to be A2 Milk’s next CEO

David Bortolussi is returning to the food and beverage sector after being announced as A2 Milk’s third CEO in a year.

a2 Milk incoming managing director David Bortolussi. Picture: SUPPLIED
a2 Milk incoming managing director David Bortolussi. Picture: SUPPLIED

Former Pacific Brands boss and Foster’s executive David Bortolussi will return to the food and beverage sector after being announced as the next chief executive of market darling A2 Milk.

Mr Bortolussi is expected to join the trans-Tasman dairy brand, replacing interim chief executive Geoff Babidge, in early calendar 2021.

He will be the third chief executive at the company in just over 12 months after Jayne Hrdlicka stepped down in December.

“David has demonstrated significant skill in guiding businesses through periods of significant growth while also effectively managing the changes that expansion frequently requires,” A2 Milk chairman David Hearn said.

“The A2 Milk Company is going through a period of continued strong growth in dynamic markets and David’s skillset and comprehensive strategic and operational experience will serve the company well.”

Mr Bortolussi joined Pacific Brands in 2009, initially as chief financial and operating officer before taking over as chief executive in 2014. During his time as CEO he shed many of the clothing, underwear and linen group’s brands to focus on its two core assets Bonds and Sheridan.

His success at turning around Pacific Brands made the group an attractive takeover target and less than a year after its shares plunged to a low of 32c in 2015, US giant HanesBrands moved to snap it up at a solid multiple of 12 times earnings, or $1.19 cash per share.

HanesBrands retained Mr Bortolussi after taking over the company and expanded his role to cover Australasia and subsequently its international innerwear operations outside of the Americas and into countries including China, which is important for A2.

“Over this period, David has been responsible for and had extensive exposure to Pacific Brands and HanesBrands’ Asian sourcing markets, particularly China including various brand distribution partnerships in the region,” Mr Hearn said.

Before Pacific Brands, Mr Bortolussi spent five years at Foster’s Group, where he held the role of chief strategy officer responsible for corporate strategy, M&A, business development and performance improvement. At Foster’s, he oversaw the process that led to the operational separation and demerger of the domestic beer and global wine businesses

At A2, Mr Bortolussi will be based in Sydney and paid a base salary of $1.75m. He will be eligible for a short term incentive of up to 130 per cent, as well as performance rights equivalent to up to 150 per cent of his base salary under the company’s long term incentive plan.

“I have always admired The A2 Milk Company’s achievements,” Mr Bortolussi said.

“The team at a2 has created a very distinctive consumer proposition, amazing brand and strong culture with so much potential. I’m thrilled to have the opportunity to lead such a talented and experienced team, and to be part of the next phase of growth”.

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Original URL: https://www.theaustralian.com.au/business/companies/david-bortolussi-to-be-a2-milks-next-ceo/news-story/6496cbe3cf43af9b3b5baf25fb8e2a96