Business & Markets
Lactalis agrees to buy Saputo's U.K. dairy operations for £988 million
The transaction would transfer a major British cheese, butter and spreads portfolio to the world's largest dairy company, subject to closing conditions.
Executive summary
- The price: Lactalis agreed to pay about £988 million, roughly $1.34 billion or C$1.86 billion, for Saputo's U.K. operations.Saputo announcement via GlobeNewswireLactalis UK & IrelandReuters
- The portfolio: The business includes British brands such as Cathedral City, Clover, Country Life, Davidstow and Frylight.Saputo announcement via GlobeNewswireLactalis UK & Ireland
- The scale: Saputo said the division generated about £800 million in revenue over the four quarters preceding the announcement.Saputo announcement via GlobeNewswireReuters
- The status: The deal is signed but not closed and remains subject to regulatory approval and other customary conditions.Saputo announcement via GlobeNewswireLactalis UK & Ireland
French dairy group Lactalis has agreed to acquire Saputo's United Kingdom dairy operations for approximately £988 million, equivalent to about $1.34 billion or C$1.86 billion at the values cited in the companies' announcements. The agreement would move one of Britain's largest branded dairy portfolios from the Canadian producer to the privately held French group.Saputo announcement via GlobeNewswireLactalis UK & IrelandReuters
The business makes and sells cheese, butter, spreads, oils and dairy ingredients under brands including Cathedral City, Clover, Country Life, Davidstow and Frylight. Those names give Lactalis a larger position in British grocery aisles as well as additional manufacturing and milk-supply relationships.Saputo announcement via GlobeNewswireLactalis UK & Ireland
Saputo said the U.K. division generated approximately £800 million in revenue over the four quarters before the announcement. The sale continues Saputo's reshaping of its global portfolio and concentrates capital away from a business that represented a minority of group revenue.Saputo announcement via GlobeNewswireReuters
Lactalis described the acquisition as a way to reinforce its U.K. presence across branded cheese and dairy spreads. The transaction also follows other expansion by the group in higher-value dairy and nutrition categories, giving it a broader route from milk procurement through consumer brands.Lactalis UK & Ireland
The companies have announced a definitive agreement, not a completed transfer. Regulatory review and other customary closing conditions remain, so the brands and operations continue under Saputo until the transaction formally closes.Saputo announcement via GlobeNewswireLactalis UK & IrelandReuters