Saputo sells its UK dairy business to Lactalis for around £988 million
The deal covers five manufacturing facilities
Saputo Inc. announced that it has entered into a definitive agreement with B.S.A. SAS (Lactalis), to sell its Dairy Division (UK), valuing the business at an enterprise value of approximately £988 million. The closing of the transaction is expected to occur by the end of the first quarter of calendar 2027, subject to certain customary closing conditions, including the receipt of applicable regulatory approvals.
The transaction includes five manufacturing facilities as well as local brands, including Cathedral City , Wensleydale , Davidstow , Clover , and Country Life . Over the last four quarters, the Dairy Division (UK) generated approximately $1.2 billion of revenues, which represented approximately 7% of consolidated revenues.
“Today's announcement reflects a disciplined step to refine our global footprint and sharpen our focus on platforms where Saputo competes from a position of strength,” said Carl Colizza, President and CEO. “The value to be realized recognizes the expertise of the UK team, the quality of the operations, and the market position of these leading brands. This transaction reinforces our strategic focus and enhances our financial flexibility as we continue to create long-term shareholder value through disciplined capital allocation.”
“We are profoundly grateful to our colleagues in the United Kingdom for their dedication and contributions to Saputo. We look forward to seeing these strong assets and brands continue to build on their market positions under new ownership.”
The proceeds from the transaction are expected to further enhance the Company's financial flexibility and provide additional capacity to accelerate growth. Consistent with its disciplined capital allocation framework, the Company will actively evaluate opportunities to deploy capital in support of its strategic priorities, including organic investments and capital projects, and strategic acquisitions, while maintaining a focus on attractive returns and long-term value creation.
Other news from the department business & finance
