Synlait to 'cease and desist'

Synlait has been slapped with a ''cease and desist'' letter as the Pokeno land ownership dispute continues.

In February last year, the Mid Canterbury-based milk processor announced the conditional purchase of 28ha at Pokeno, in north Waikato, to build a $280million nutritional powder manufacturing site.

The title had transferred to Synlait after the removal of land covenants by the High Court late last year but that decision was reversed earlier this month in the Court of Appeal.

On Monday, Synlait received a cease and desist letter from the beneficiary of the covenant while the beneficiary considered its options, Synlait chief executive Leon Clement said.

The company was taking advice and talking to all parties and believed a practical solution was attainable, he said.

The plant was due to be commissioned for the upcoming 2019-20 dairy season.

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