Banking facilities update

Synlait Milk Limited · 1028 Heslerton Road, RD13 Rakaia, Canterbury, New Zealand · +643 373 3000 · www.synlait.com





NZX: SML
ASX: SM1


14 November 2025

Banking facilities update

Synlait Milk Limited (Synlait) advises that it has temporarily increased its banking facilities to provide
additional working capital funds.

The increase to Synlait’s banking facilities will be enabled by a new Revolving Credit Facility of NZ$50 million
for the period 14 November 2025 to 31 March 2026.

While Synlait had planned for a lean working capital program for the current financial year (FY26), it has been
more difficult to manage due to the resulting cashflow impacts and expenses from manufacturing challenges
that the company experienced earlier in the calendar year
1
. Although these challenges have been largely
resolved, Synlait is experiencing related cost impacts in FY26
2
.

In addition, the banking facilities agreement’s quarterly and annual minimum EBITDA Event of Review
thresholds have been adjusted for the current financial year to accommodate the revised earnings.

Synlait continues to remain in compliance with its banking covenants.

As per the company’s 29 September 2025 market update
3
, Synlait expects to significantly reduce its debt
over the current financial year by utilising the sale proceeds of the North Island assets to pay down debt. The
sale is due to complete on 1 April 2026, subject to regulatory and customary conditions. Synlait shareholders
need to approve the transaction, however, majority shareholder Bright Dairy has lodged its postal vote in
favour, so that condition will be achieved
4
.


For more information contact:
Media Investors
Jo Scott Hannah Lynch
Corporate Affairs Manager Head of Strategy and Corporate Affairs
P: +64 021 883 123 P: +64 021 252 8990
E: jo.scott@synlait.com E: hannah.lynch@synlait.com



1
NZX, New Zealand's Exchange - Announcements, Synlait Provides Performance Update
2
Synlait announced the costs associated with its Dunsandel manufacturing challenges totalled $43.5 million in FY25
3
NZX, New Zealand’s Exchange - Announcements, FY25 Results, North Island Sale & Annual Meeting
4
NZX, New Zealand's Exchange - Announcements, Synlait Confirms Bright Dairy Vote Received