Muller Wiseman and A2 Corporation to restructure

Muller Wiseman Dairies and A2 Corporation have agreed to restructure their joint venture to take advantage of increased opportunities for the a2 milk brand in the UK and Europe.

This will allow increased investment in the UK and will see A2 Corporation take over the marketing and sales of its a2 milk products, while Muller Wiseman Dairies will procure, process and distribute it.

A2 Corporation’s milk recently passed the £1m sales mark in the UK since its launch a year ago, and has more than 1,000 stockists. In Australia, a2 is the fastest growing milk brand and now commands about 8% of the milk market.

The A2 milk contains one beta-casein protein, A2, rather than both proteins A1 and A2 commonly found in milk. The milk is produced naturally by cows that are tested for the A2 gene and is thought to have health benefits for people with problems digesting milk.

The new arrangement will take effect from 1 January 2014. A2 Corporation will acquire Muller Wiseman’s shareholding interest in A2 Milk (UK) and Muller Wiseman Dairies will supply milk to the company on a cost-plus basis.

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