On November 12, 2024, Kerry Group announced that it has entered into an agreement with Kerry Co-Operative Creameries Limited to sell Kerry Dairy Ireland for a total expected consideration of 500 million euros.
Kerry Dairy Ireland consists of the company’s dairy consumer products brands and the dairy ingredients business. The proposed sale is said to help further Kerry’s reach in the Irish dairy industry by creating one of the largest dairy processors in the country.
According to the proposed transaction, Kerry will continue to have 30% ownership to support alignment between Kerry Dairy Ireland and the Co-Op’s members and stakeholders until July 31, 2035. The Co-Op will have the right to purchase the remaining 30% interest for 150 million euros any time before that date.
Edmond Scanlon, chief executive officer of Kerry Group, said, “The proposed transaction will result in a global leader in taste and nutrition solutions and an end-to-end industry leader in dairy. On completion, Kerry will become a pure play global business to business taste and nutrition company, with sustainable nutrition at its core, while also supporting our financial objectives.”
James Tangney, chairman of Kerry Co-Op added, “We are very pleased to have reached an agreement that will ultimately deliver full ownership of one of the leading dairy businesses in the country while also, in effect, releasing 85% of the Co-Op’s Kerry Group shares into the hands of our members to be retained or sold be each of them at a time of their choosing.”
