Sector News

Saputo acquires Cathedral City maker Dairy Crest for £975m

February 22, 2019
Food & Drink

Saputo has said it will acquire Dairy Crest for approximately £975 million, in a move to expand its international presence and enter the UK market.

UK-headquartered Dairy Crest manufactures and markets cheese, butter, spreads and oils under brands such as Cathedral City, Clover, Country Life and Frylight. It employs around 1,100 people in seven locations across the UK.

For the year ended 31 March 2018, Dairy Crest had revenues of approximately £456.8 million and profit after tax of £149.5 million.

Montreal-based Saputo said Dairy Crest is “a well-established and successful industry player with a solid asset base and an experienced management team”, adding that the Dairy Crest portfolio fits with its growth strategy.

In 2015, Dairy Crest sold its dairy unit to Müller in a deal worth £80 million. The division made the ready-to-drink flavoured milk brand Frijj, cream, bulk butter and milk powders.

Dairy Crest brands include Davidstow, Utterly Butterly and Country Life.

Last year, Dairy Crest revealed a £75 million expansion of its creamery in Davidstow, Cornwall. The company said the investment will boost growth of its Cathedral City and Davidstow cheese brands, increase whey production and reduce the facility’s environmental impact.

One of the world’s top ten dairy processors, Saputo agreed a CAD 1.29 billion ($1 billion) to buy Australia’s struggling dairy business Murray Goulburn in 2017 – taking on 2,300 employees and 11 manufacturing facilities in Australia and China.

It has since bought US goat’s cheese manufacturer Montchevre and speciality cheeses and yogurts maker Shepherd Gourmet Dairy.

Last November, the company revealed plans to build a new dairy processing facility in Port-Coquitlam, Canada, in a move to expand its business in western Canada.

Saputo said it expects the Dairy Crest transaction to close in the second quarter of 2019.

By Jules Scully

Source: FoodBev

comments closed

Related News

January 23, 2022

IFF appoints Frank Clyburn as CEO

Food & Drink

International Flavors & Fragrances (IFF) has announced the appointment of Frank Clyburn as CEO and member of the board of directors, effective 14 February 2022. Clyburn, who will step down from his position as executive VP and president of human health at Merck & Co, succeeds current IFF CEO Andreas Fibig

January 23, 2022

Jack Link’s expands Peperami range with new chorizo five-packs

Food & Drink

Jack Link’s-owned meat snacking brand Peperami has launched new chorizo five-packs to add to its extensive snack portfolio. The new chorizo sticks are made with 100% pork, packed with protein, contain 99 calories and are unpasteurised to maintain a fuller flavour — providing a shelf life of over six months.

January 23, 2022

More beer in the glass with physics

Food & Drink

While foam is certainly desirable in the bathtub or on beer, preventing foam – for example in industrial processes – is a much-discussed topic. A team of researchers at the Max Planck Institute for Polymer Research has now shown that so-called “superamphiphobic surfaces” can be used to prevent foaming.

Send this to a friend