Delivered-To: daniel.reyes@halberd.com Received: by mail-prv-eu-1.halberd.com with SMTP id 8b3f2a; Wed, 22 Apr 2026 09:14:32 -0400 (EDT) From: Vivian Holst To: Daniel Reyes , Maya Okonkwo , Theo Lindgren , Iris Beaumont Cc: Hugh Pemberton Date: Wed, 22 Apr 2026 09:14:30 -0400 Message-ID: MIME-Version: 1.0 Content-Type: text/plain; charset=utf-8 Subject: fwd: Project Albatross - NZ shell egg producer Team, Forwarding for screening. NZ shell-egg producer, family-controlled, mid-market. Worth a hard look - the cage-free transition dynamics over there are interesting, and I think there's a real tuck-in case for our agri platform if the unit economics hold up. Daniel - let's set up the deal team Friday. Iris, can you start booking expert calls? We'll want EPF for industry context plus an industry insider - there's someone at the trade-association level who knows everyone's flock; ask around. I'll send the full must-test list separately. - Vivian ----- Forwarded message ----- From: Nicholas Chen To: Vivian Holst Date: Mon, 20 Apr 2026 14:02:11 +1200 Subject: Project Albatross - NZ shell egg producer Vivian, Hope you've been well. Off the back of our conversation in March I wanted to flag a process we're running here that I think fits Halberd's North American agri platform really well. The target is one of New Zealand's leading shell-egg producers, family- controlled (3rd generation, the McKenna family), and the principal is now considering a partial sale to bring in a strategic capital partner. We're calling it Project Albatross internally. Headline shape: - Revenue (FY24): NZ$84.6M - Adjusted EBITDA (FY24): NZ$10.8M (12.8% margin) - 2 production sites (one each on the North and South Islands) - ~610k layer hens - Second-largest NZ producer by volume share, behind Mainland Poultry - they don't disclose publicly, but our work pegs them at ~17-19% of national volume - Channel mix: ~70% retail (long-standing relationships with both major NZ supermarket groups), ~25% foodservice, ~5% industrial - Production system mix: ~40% colony cage / ~30% barn / ~30% free-range NZ has just completed Phase 1 of a two-phase animal-welfare transition (battery cages out by end-2022), and the country's two major supermarket chains have publicly committed to fully cage-free shell eggs by end-2027. The McKennas have been ahead of the curve on this and have a clear path to complete the colony-to-barn transition by 2027 - capex is committed, conversion plans are drawn up, and they have the balance sheet to fund it. Free-range, where they're already at 30% of the flock, has historically commanded a 30%+ retail premium and we expect that to continue. Aurora is also one of the cleaner operators in the market. Long-standing retail relationships, no material customer churn, no material litigation, and the family management has been stable. On governance and continuity - this is one of the smoother family-controlled operations we've worked with in NZ agri. Mark McKenna, the 3rd-generation principal and MD, is in his mid-fifties, in great shape, and expected to continue running the business post-transaction. His mother Eleanor McKenna chairs the family company board and has been a steady hand on the family side for the last twenty-plus years. The family is aligned on a partial sale that brings in a strategic capital partner without disrupting operational continuity. Decision rights are clear: Mark runs operations day-to-day, the board oversees strategic direction, and the family side is unified on bringing a partner in. This is not the kind of process where a buyer will inherit a succession or governance overhang. Process and timing: - Information memorandum out to selected parties first week of June - Vendor expectations are in the 12-14x FY24 EBITDA range - Indicative bids: 4 weeks after IM - LOI / management presentations: 8 weeks - Process expected to close by year-end We'd love to have Halberd at the table. Happy to chat through it. Best, Nicholas Nicholas Chen Director, M&A Advisory Tasman Mercantile Auckland | Wellington nicholas.chen@tasmanmercantile.co.nz | +64 9 555 0182 This communication is confidential and intended solely for the addressee.