Wellard eyes Chinese expansion

Fremantle-based livestock exporter Wellard has appointed Chinese businessman Kanda Lu as an executive director in an effort to boost the company's expansion into China's beef cattle market. 

In addition to his selection to the board, Mr Lu has been appointed as head of China initiatives and managing director of Wellao, Wellard’s wholly owned Chinese subsidiary.

Mr Lu is currently assistant to the chairman of textiles company and major Wellard shareholder, Fulida Group Holdings, having previously held senior management positions at financial services firms, including Morgan Stanley Huaxin, Ping An Securities and Australian Finance Group.

“Wellard has been exporting cattle to China for a decade now as a supplier of breeding cattle,” Wellard CEO Mauro Balzarini said.

“The new protocol for slaughter and feeder cattle is an enormous opportunity to expand into this huge market.

“The skills Kanda brings to Wellard and Wellao, combined with his intimate knowledge of Chinese market dynamics as well as asset and management skills, sets Wellard apart from its competitors and will enable it to capitalise on its potential.”

Meanwhile, subsequent to last week’s commitment to make up a portion of Wellard’s $9 million shortfall from its rights issue, local agribusiness Heytesbury has purchased a further $1.7 million of shares, taking its total holding to 10.42 per cent.

Wellard share price closed without change at 19.5 cents today.