Brownes Dairy is on the block, with the start of the process to sell the Australia-based dairy and coffee-drinks business.
McGrathNicol Restructuring was appointed receivers of the shares in Australian Zhiran Co
Pty Ltd, Brownes Dairy’s ultimate holding company, in April last year. According to a report in The West Australian, Australian Zhiran Co. defaulted on a A$200m (US$143.6m) loan provided by Chinese dairy giant Mengniu. Brownes was sold – by Archer Capital, which bought it in 2011 – to Australia Zhiran Co. in 2017, a vehicle backed by a consortium that also had investment firm Changchun Lianxin Investment Consulting Company as a member.
Mengniu was one of the key lenders in that acquisition. In April last year, Hong Kong-listed Mengniu appointed McGrathNicol, which took control of Australian Zhiran Co.’s shares. Brownes Dairy indicated in October a plan to embark on a sale in 2026.