A2 Milk: members of the executive leadership team sold up to 50% of pre-2024 share tranches

A2 Milk: members of the executive leadership team sold up to 50% of pre-2024 share tranches

A2 Milk Executives Sell Shares to Address Tax Obligations

Members of the Executive Leadership Team (ELT) at The a2 Milk Company (ASX:A2M) have sold up to 50% of pre-2024 share tranches received under long-term incentive (LTI) plans to cover tax obligations. The sales, disclosed in NZX and ASX filings, relate to shares vested under the FY22 and FY23 LTI programs. The Board of Directors has endorsed the sales as a reasonable measure to meet tax liabilities, emphasizing compliance with Executive Minimum Shareholding Requirements (MSR) while allowing future share sales during trading windows.

The decision follows a period during which ELT members faced restrictions on selling shares due to material company announcements, including the Pokeno acquisition, MVM divestment, and plans for a special dividend. For instance, CEO David Bortolussi sold 242,345 shares on September 15–16, 2024, for approximately $2.48 million, at prices ranging from $10.23 to $10.25 per share. These proceeds were used to settle tax obligations arising from vested long-term performance rights.

Despite the sales, ELT members retain shareholdings exceeding their MSR thresholds. Bortolussi, for example, continues to hold 1.52 million a2 Milk shares, including 1.28 million in a family trust. The Board noted that all ELT members who have received multiple performance rights grants currently hold shares above their MSR requirements.

The a2 Milk Company, a global dairy marketer specializing in A2 protein products, operates under insider trading rules that govern share sales by executives. Further details on the transactions are outlined in NZX Ongoing Disclosure Notices and ASX Appendix 3Y filings. Investors are advised to monitor future disclosures regarding additional share sales during approved trading periods.

This update reflects routine corporate governance practices aligned with tax compliance and insider ownership policies.