a2 Milk settles disclosure class action for $62 million
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The news: a2 Milk has settled a class action lawsuit for $62 million, inclusive of interest and costs, relating to alleged continuous disclosure failings regarding FY21.
The context: The settlement will be funded through insurance proceeds and will have no impact on FY26 earnings, according to a2 Milk.
Two separate class actions were filed in the Supreme Court of Victoria in October and November 2021 before they were consolidated in 2022.
The proceedings were led by class action law firms Shine Lawyers and Slater and Gordon respectively on behalf of a2 Milk’s ASX and New Zealand stock exchange shareholders during the period 19 August 2020 and 9 May 2021.
a2 Milk says it has made no admission of liability in reaching the settlement, which is subject to finalisation and execution as well as Supreme Court approval.
The source: ASX
