"We've said right from the outset that we have a dairy nutrition strategy for our co-op. This is a confectionery business, it is off-strategy from where we've been".
Listen to the full interview below:
Fonterra chairman John Monaghan agreed, although he admitted the Tip Top sale was a "bittersweet" moment for part of the co-op's shareholder-base, who were "very emotionally attached" to the brand.
Despite the sadness around the sale, Monaghan told Mackay the fact Tip Top was sold at a very good "multiple" had "certainly ... eased some of that pain" for farmers.
Shareholders could also console themselves with the fact that Fonterra would continue to supply milk to Tip Top, and although Kapiti ice cream would be licenced to Froneri, Kapiti cheese would stay with the co-op.
It was most important that the manufacturing assets remained in New Zealand, Hurrell said.
"To see a trade buyer such as Froneri come out and be prepared to do that ... leaves us in a good position. So we're very comfortable with that".
Perhaps most importantly nobody had lost their job at Tip Top, Hurrell said.
Also in today's interview: Monaghan and Hurrell give an update on the My Connect conference, including some of the "forthright" questions from farmers.
