Wool Partners Co-operative Down But Not Out!

18 February 2011

“There is a clear groundswell of growers wanting to see change in the strong wool industry and willing to invest to make that happen,” says Wool Partners Co-operative Chairman Jeff Grant.

The Wool Partners Co-operative capital raise closed on Wednesday 16 February, attracting nearly 40 million share subscriptions – or 30% of the strong wool clip. This is short of the required $55m support required for the co-operative to proceed.

“While we are very disappointed, getting our target of 50% of the strong wool on board was a big ask. This was not like a farmer voting process where you only need 50% of those who vote – we needed 50% of ALL strong wool. We always knew that this was setting the bar very high but for an industry in decline major change was needed.

“Those who have subscribed, and even a number of growers who haven’t, have encouraged us not to give up and, while we can’t do anything more under the current offer, the board of Wool Partners Co-operative are determined to work with like-minded growers to develop an alternative. We’re not sure how long that will take but we hope to be in contact with those that have shown their support for the co-operative over the next few weeks.

As advised during the capital raise, cheques already received from growers will now be destroyed.

“The Board would like to thank those growers who have supported our efforts. We are aware that a number of growers have put in a huge amount of time and effort to make the co-operative successful. The Board is truly appreciate of their encouragement and support.

ENDS

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