A2 Milk shares plunge after finding toxins in infant formula
Make us a preferred source
Make us a preferred source on Google
More news: Shares in A2 Milk plunged in afternoon trade after the infant formula distributor reported the presence of a potent cyclic peptide toxin, cereulide, in its product’s ingredients. No reports of harm to infants have been received at the time of writing, with three batches recalled in the US.
Shares had fallen 11.35% to $6.44 at 12:31pm AEST.
A2 Milk recalls products in the US over toxin concerns
The news: New Zealand-based infant formula distributor A2 Milk has recalled three batches of its USA label infant formula due to the presence of a potent cyclic peptide toxin, cereulide found in the product.
The context: The USA label infant milk formula, manufactured by Synlait Milk, was distributed through the the A2 Milk’s website, Amazon and Meijer stores under the importation rights that expired on 31 December. The product has since been discontinued prior to the initiation of the recall.
A2 Milk stated that the recall was initiated after product testing detected cereulide in the ingredients, although the company noted no confirmed incidents or infant harms have been reported.
The company said it is communicating with the US food and drug administration and has released guidance to US consumers on safety actions if they have purchased the product.
A2 Milk confirmed that all A2 platinum products sold outside of the US are unaffected and it expects no impact on its financial earnings.
The source: ASX
