Penno's 25-year leadership role over
Troubled milk processor Synlait’s co-founder John Penno has stepped down from the board.
The Canterbury-based business has reported a net loss of $28.5 million and has announced the start of “a new chapter to return to robust profitability”.
Synlait has poached Miraka Milk chief executive Grant Watson to be its new CEO. Watson, who joined Miraka in February this year after a long stint at Fonterra, will start in his new role in January.
Acting CEO John Penno will take over as Synlait chairman when Graeme Milne retires at its annual general meeting in December.
Milne says Watson has a track record “of materially transforming and accelerating businesses by setting clear strategies, surrounding himself with diverse and talented people, and relentlessly driving execution to deliver strong sustainable results”.
Synlait released its annual results today: the heavy loss comes after nine years of profitability.
Penno says the financial result illustrates that the last financial year has been very challenging for Synlait.
“We have always had the enormous advantage of starting fresh some 13 years ago as a small part of a large, successful, and well-established global industry.
“Our strategy fundamentally plays to this competitive advantage and is driven by our purpose: Doing Milk Differently For A Healthier World.
“We have fallen short of delivering on this advantage.
“The opportunity to pause, learn, change, and then double down on delivering the potential Synlait’s board and management firmly believe is there is being approached with fresh energy and is our number one priority.”
