News Milk
Lactalis trumps FrieslandCampina in Fonterra deal
The takeover battle for Fonterra's Australian consumer division appears to have been won by Lactalis for now.
Read this article?
Become a subscriber and get instant access
Choose the subscription that suits you
In addition to Lactalis, it is also reported that FrieslandCampina Fonterra's consumer division in Australia, which the New Zealand dairy cooperative itself has put up for sale, is being considered. FrieslandCampina is reportedly collaborating with Bega Group. Japan's Meiji also expressed interest.
Interested parties could formally submit bids until July 4th. And according to insiders, bidding rounds were also held after that date. Ultimately, Lactalis emerged as the winner and thus pole position The Australian newspaper Financial Review reports that the deal is being finalized. The other parties are therefore currently sidelined.
Fonterra is seeking a hefty $4 billion, although analysts believe this is overreaching. Lactalis has already overcome one hurdle. In recent months, the Australian Competition Authority (ACCC) has been informed of the interest, and after an investigation, the ACCC announced in early July that it saw no objection to a potential deal.